Doesn't the welfare system also prohibit people from trying to save any money? One of the keys to getting off welfare is being able to economize, but the welfare system actively discourages that.
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YES! In PA you are not allowed to have more than $2000 in combined assets. This includes life insurance, savings/checking accounts of all adults AND children in the household. They can even make you sell your vehicle if it is worth more than $2000.