1 out of 4 Americans Living on Welfare and 1 in 8 Americans on food stamps, 1.2 Million Will Lose Benefits By Year's End Food Stamp Usage Soars Among Working Families . Data from the U.S. Department of Agriculture shows that 32 states have adopted rules making it easier to qualify for food stamps since 2007. In all, 38 states have loosened eligibility standards. With more than 1 in 8 Americans now on food stamps, participation in the program has jumped about 70 percent from 26 million in May 2007, while the nation's unemployment rate rose from 4.3 percent to 9.2 percent through September of this year. 1.2 Million Will Lose Benefits By Year's End Unless Congress Acts if Congress fails to reauthorize extended unemployment benefits by the end of November, it will spoil the holidays for 1.2 million people, according to the National Employment Law Project.