In an effort to boost the share of adults on welfare who work, the state has considered proposals to further reduce or eliminate payments to those receiving aid through CalWORKs-the state’s welfare program for needy families-who don’t work or seek work. This report examines possible effects of these stricter sanctions. The findings suggest that in general, the state’s work participation rate could rise, the welfare caseload could shrink, and the poverty rate among children would not be greatly affected if stricter sanctions were adopted.