Ideally, we all should budget our money precisely
over the course of a month so that we have the funds available to pay
bills as they come due. It shouldn't matter if we get paid weekly, every
two weeks or monthly.
In reality, most of us tend to spend more when we
first get our paychecks, with the budget belt tightening as the pay
period progresses.
People who receive public assistance such as food
stamps are no different. Families tend to use more food stamps when they
first get them, simply because their immediate hunger overshadows the
need for longer-range budgeting. With benefits doled out during the
first 10 days of the month, many food-stamp recipients often find
themselves scraping by toward the end of the month.
Their spending habits also have an impact on
retailers, who see greater traffic at the beginning of the month, as
well as charitable organizations such as soup kitchens, which often see
demand grow toward the end of the month.
Now some Michigan lawmakers are seeking to even
out the spending roller-coaster by distributing food stamps twice a
month, rather than monthly.
We think it is a good idea. Not only would
recipients be able to budget their food spending better, but it also
would make it easier for them to buy fresh produce and meat throughout
the month, benefitting the health of their families.
In addition, stores would be able to stock their
inventory and schedule their staffs more regularly, rather than trying
to anticipate a first-of-the-month rush and a slowdown at the end of the
month. Likewise, soup kitchens and food pantries wouldn't be as likely
to see big fluctuations in demand.
Because food-stamp benefits now are transferred
electronically on to recipients' debit cards, the cost of distributing
funds twice a month instead of monthly would be minimal for state
government.
More than 1.2 million people in Michigan - or
about one in every nine - receives food stamps. That is more than double
the number of people receiving assistance in 2000. Eighty percent of the
benefits go to households with children. The state Department of Human
Services currently is surveying recipients to see how a change to
twice-a-month payments would affect them.
Thus far, we have yet to hear any persuasive
argument against changing the current system. Unless a good case can be
made to retain the monthly payment system, we think Michigan should
become the first in the nation to provide food stamps twice a month.