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Finnish family policy faced two rather different reform waves in the 1990s. They were justi? ed by saving public spending but relied on different social policy philosophies. The article assesses the impact of the reforms on public spending and poverty rates at the turn of the 2000s. The method is based on tax-bene? t models and representative micro data, i.e. on static microsimulation. The results suggest that the increased poverty is due more to changes in the socioeconomic structure than changes in the levels of family policy bene? ts, even though the biggest cutbacks in the reforms focused on families with small children and single parents. The reforms also had an impact on gender relations by offering more incentives to reinforce than alleviate the traditional division of child care and paid work between the parents. That in part may have affected the mothers labor market position and increased income differences between families.

Outcomes of the Two 1990s Family Policy Reforms at the Turn of the 2000s in Finland