Abstract

This study investigates whether the minimum wage affects the uptake of Supplemental Security Income (SSI). To disentangle the effect of the minimum wage from underlying macroeconomic conditions, I use a triple-differences-type model that exploits cross-state and temporal differences in the minimum wage and its differential effects on those individuals with and without a high school diploma. I find that a one percent increase in the minimum wage leads to a 0.33 percent decline in SSI uptake. The effect is concentrated in unmarried individuals, who are more likely to face financial constraints and thus meet income and resource thresholds for collecting SSI.

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