The thing is, we have a lot of different reasons people could be on welfare. Not all of them will have the same solution. (I’m for now going to address family units rather than individuals.)
Some people won’t be able to work, or they’ll only be able to work a very limited amount, due to disability. This will also include those who are serving as full-time caretakers (which can last different amounts of time depending on the individual being cared for). These people are going to need some form of outside support no matter what.
Some people could work, but they may need extra help. I was in that category - I could get back to work, but I needed some support in order to reach that point. I needed medical care and I needed a place to stay and food to eat while I got it, but once I got medical care I could get back to work.
There are people who could work, but for some reason aren’t trying to work.
There are people who are looking for work and need assistance while they find a job.
There are some people who are working, but who don’t make enough to meet their own ordinary needs for housing and food and clothing.
There are people who are working, but who have extraordinary needs. An example here would be many families of special needs children, who have increased costs (I know of a family here with a severely developmentally delayed son, who costs a lot of money because of the expense of having someone capable of watching him).