The passage of the Personal Responsibility and Work Opportunity Reconciliation Act (PRA) of 1996 marked the beginning of reforms in the welfare system that promise to affect more than 20 million people in the next 5 years. Although many agree that reform was needed, efforts may be based on misconceptions about welfare recipients. The transition from welfare to work may be problematic for many, as they face individual factors (e.g., psychological disorders) and contextual variables (e.g., lack of well-paying jobs). Counseling psychology traditionally has rested on the foundations of the vocational guidance, psychological testing, psychotherapy, and mental hygiene movements. The context of welfare reform offers unique opportunities and obvious responsibilities for the profession. This article discusses the philosophies and values of counseling psychology in the context of realities and misconceptions of the past welfare system and implications of the PRA. Recommendations for points of entry for counseling psychologists are made.

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