Welfare can take a variety of forms, such as monetary payments, subsidies and vouchers, or
housing assistance. Welfare systems differ from country to country, but welfare is commonly
provided to individuals who are unemployed, those with illness or disability, the elderly, those
with dependent children, and veterans. Programs may have a variety of conditions for a person to
receive welfare:
Social insurance, state-sponsored programs based partly on individual contributions
towards benefits such as healthcare, unemployment payments, and old-age pensions.
Means-tested benefits, financial assistance provided for those who are unable to cover
basic needs, such as food, clothing and housing, due to poverty or lack of income because
of unemployment, sickness, disability, or caring for children. While assistance is often in
the form of financial payments, those eligible for social welfare can usually access health
and educational services free of charge. The amount of support is enough to cover basic
needs and eligibility is often subject to a comprehensive and complex assessment of an
applicant's social and financial situation. See also Income Support.
Non-contributory benefits. Several countries have special schemes, administered with no
requirement for contributions and no means test, for people in certain categories of need,
such as veterans of armed forces, people with disabilities, and very old people.
Discretionary benefits. Some schemes are based on the decision of an official, such as a
social worker.
Universal or categorical benefits, also known as demogrants. These are non-contributory
benefits given for whole sections of the population without a means test, such as family
allowances or the public pension in New Zealand (known as New Zealand
Superannuation). See also the Alaska Permanent Fund Dividend.
Social protection
Main article: Social protection
In developing countries, formal social security arrangements are often absent for the vast
majority of the working population, in part due to reliance on the informal economy.
Additionally, the state's capacity to reach people may be limited because of its limited
infrastructure and resources. In this context, social protection is often referred to instead of social
security, encompassing a broader set of means, such as labour market intervention and local
community-based programs, to alleviate poverty and provide security against things like
unemployment.[42][43][44]
By country
Further information: Welfare state § By country
Australia