Welfare: How does a government facilitate comprehensive care for its constituents without sacrificing equity?

According to the U.S. Census bureau reported on November 4, 2010, the average household median income was $52, 029 for 2008 and the amount of the American public that was considered at or below the poverty line was a mere 13.2% (http://quickfacts.census.gov/qfd/states/00000.html) From 2008 to 2009 the amount of American's grew from 13.2 % to 14.3%. (http://www.mybanktracker.com/bank-news/2010/09/20/poverty-rate)

New figures have not been released, with the U.S. Census Bureau completing census reports only every two years. However these figures prove that the American citizens are feeling the pain. With the average household median income level only being $50,000, imagine what size family could be living on such little money.  Imagine the typical expenses such as; rent or mortgage, food, gas, car payments, insurance (health, life, car), utilities, phone, clothing, etc. The majority of America might not be below poverty level but they are at or slightly above.

Can the government facilitate comprehensive care for it's constituents without sacrificing equity? Recently, the new reform act of 2011 was passed in March. This reform act like the reform act of 1996 put even stricter income guidelines and rules on citizens receiving welfare program help. According to the State Column on March 25, 2011 the new reform act will help food stamp recipients become less independent upon the governments assistance and get back to work. (http://www.thestatecolumn/state_politics/new-jersey/rep-scott-garrett)

Are these stricter guidelines actually helping? With our economy in recession and near depression in my mind, the American citizen needs help. The rich are getting the tax breaks, while the middle to lower class have not received any true assistance. We are bailing out car companies, banks, and even the stock markets. Blue collar jobs are on decline leaving millions of people without work. Numerous amounts of companies laid off thousands of people leaving our national unemployment level at the highest it has been since the Great Depression.  So to answer the question can the government provide comprehensive care without sacrificing equity? The answer to this question is of course not. But if the government is willing to give millions to bail out banks, car companies, etc. then maybe they should take a pay cut to help the people that are suffering so dearly. Maybe just maybe the money that they cut from their own salaries will also help to pay down our deficit.