From “Gov Tech Insider” | By Sarah Raybon, Vice President of Business Development at ClassWallet | Published April 10,
2025
In 2024, the Department of Labor Bureau of Labor Statistics found that, among working-age people with a disability, the employment-population ratio was only 37.4 percent. Even more concerning, the unemployment rate was double that of those with no disability.
Vocational Rehabilitation (VR) programs help bridge this gap. These state-level programs, funded by the 2014 bipartisan Workforce Innovation and Opportunity Act, offer services like career development, job placement and financial support for training and work-related expenses. In effect, VR programs help individuals acquire the skills and support they need to find meaningful employment.
Of course, joining the workforce helps program participants financially, but it also has significant social and psychological benefits. For instance, finding a stable job often means expanding one’s social circle and community engagement. Furthermore, as many know firsthand, a career can significantly contribute to one’s sense of purpose.
In addition to financial and social benefits for program participants, VR programs boost economic growth for the entire community. As employment rates increase, so do tax contributions and spending in the local economy. A 2024 study at Northwestern University found that for every dollar spent on VR programs, the state recoups $3.90 in tax revenue over a participant’s career.
The same study found that VR programs contribute to lower crime rates, better health outcomes and reduced dependency on public assistance programs. Despite the significant benefits VR programs offer participants, employers and communities, these programs face ongoing challenges in effectively using and managing available funds.
How Digital Wallets Help VR Programs Effectively Manage Funds
Over the last decade, the value of unused VR funds has risen steadily. If VR programs cannot utilize funding effectively, communities will continue to struggle with high levels of unemployment, and the amount of funding allocated to support VR programs may decrease.
Digital wallets are a simple yet powerful solution to ensure VR funding reaches the individuals it is intended to support. Modernizing payment processes liberate VR counselors and administrators from burdensome, manual administrative tasks and compliance requirements, giving them time back to focus on directly helping program participants.
A digital wallet, or e-wallet, is a software-based system that securely stores payment information and allows users to easily make rule-based purchases. For instance, if a VR program participant needs access to transportation to attend a professional training course, they can use a digital wallet card that is restricted to purchasing gas or bus fare. Features such as these empower program participants to effectively utilize funding as intended.
Naturally, accessibility is paramount for VR programs given they serve people with disabilities. It’s vital for VR program administrators to adopt a digital wallet solution that prioritizes accessibility and user-friendly interfaces to ensure participants can easily and quickly access the funds they need.
In addition to helping program participants directly, VR program administrators and counselors stand to gain tremendously from adopting digital wallets. Many VR programs still rely on paperwork, purchase orders and physical checks to manage financial transactions. These manual processes are extremely time-consuming for counselors and administrators who must comply with strict regulatory and audit requirements.
Digital wallets address these challenges by offering a clear and detailed audit trail, allowing VR program administrators to track every expenditure in real time. This transparency ensures funds are used appropriately and simplifies auditing and reporting processes, making it easier to demonstrate compliance during evaluations or audits. Furthermore, automating payments and expense tracking significantly reduces the time staff must spend on administrative tasks. As a result, VR counselors have more time to focus on their primary responsibilities — helping program participants find employment and make a positive impact in their communities.
Looking Ahead — Seamless Implementation & Lasting Results
Too often, IT modernization initiatives can disrupt an organization’s operations. That’s why it’s imperative that VR program administrators partner with digital wallet providers that can integrate seamlessly with existing case management and financial tracking systems. Frictionless integrations ensure that VR programs can implement new technology without overhauling their entire IT infrastructure.
Digital wallets empower VR programs administrators to effectively use the funding at their disposal, promoting economic growth for the community and getting more citizens back to work. It’s evident that VR programs play a crucial role in the economic and social welfare of communities across the nation and implementing modern tools like digital wallets will help these vital programs thrive.