Why It Matters
West Virginia is one of just 11 states that continues to intercept federal Social Security benefits from orphaned and disabled children in the foster care system, using those funds to offset the cost of state-provided care rather than holding them in reserve for the children themselves. The practice affects some of the state’s most vulnerable youth and has drawn renewed scrutiny as several other states have moved to end it.
With between 5,000 and 6,000 children currently in West Virginia’s foster care system, and up to 10 percent of them potentially eligible for federal Social Security benefits, the financial stakes are meaningful — both for the state budget and for the individual children whose benefits are being drawn down.
What’s Happening
Under West Virginia’s foster care policy, caseworkers are required to apply for any federal benefits a child may be entitled to, including Social Security survivors’ benefits for children of deceased workers and disability benefits. The state’s policy manual explicitly designates a child’s monthly income as a resource toward the cost of their own care.
While the state is supposed to place remaining funds into an interest-bearing account for the child, there is no formal requirement to notify the child or their advocates that benefits were received or are being accessed. Former Kanawha County child protective services worker Elaine Goodman, who spent nearly six years in that role, was among those with direct knowledge of how the policy operates in practice.
Critics argue the policy exploits children who have already suffered the loss of a parent. Daniel Hatcher, a law professor at the University of Baltimore, called the practice “a violent abdication of trust when you have the foster care agency, the very agency that exists for the sole reason of protecting foster children, that that agency is taking resources from foster children.”
Cathy Wallace, an attorney who represents foster children in Kanawha County, said the funds could have a tangible impact on children’s lives. “These kids have gotten the short end of the stick,” she said. “That money can make the difference in helping them get to school, buy books.”
By the Numbers
- 5,000–6,000 children currently in West Virginia’s foster care system
- Up to 10% of those children may have federal Social Security benefits available
- $1,619 — average monthly cost per child in foster care as of 2022, for children in care at least six months
- 11 states have not moved to end the practice of intercepting foster children’s benefits
- 5 states have acted in roughly the past six months — Kentucky and Mississippi through legislation, and Alabama, Louisiana, and Indiana through governor-signed executive orders
Zoom Out
The issue is not unique to West Virginia. Across the country, states have long used children’s Social Security entitlements — benefits meant to replace the income of a deceased or disabled parent — as a funding mechanism to offset government foster care expenditures. Advocacy groups and legal scholars have raised concerns for years that the practice undermines the purpose of those federal benefits.
The recent wave of state-level action suggests growing political will to change course. Five states have ended or begun ending the practice in a short period, through both legislative and executive routes, signaling that the policy may be increasingly difficult to defend publicly. West Virginia, which already faces significant fiscal and social pressures — including rising utility costs straining household budgets — has so far taken no formal steps to follow suit.
What’s Next
As of now, West Virginia has no announced legislation or executive action targeting the practice. The state’s foster care system is administered through the Department of Human Services, and any change would require either a policy revision, new legislation, or a governor’s executive order — the same mechanisms other states have used.
Advocates and legal representatives for foster children are expected to maintain pressure on state officials, particularly as the list of states continuing the practice continues to shrink. Whether West Virginia’s legislature or governor’s office will act remains an open question heading into the next legislative cycle.