This 1976 annual report on the Work Incentive Program (WIN), a federally funded program directed to assisting the transition of individuals from welfare to self-sufficiency and economic independence, includes both discussion of the 1976 activities and presentation of a broader perspective including background, change, and future prospects of the 8-year-old program. The report begins with four brief sections: (1) An overview of program purpose, administration, population, services, and adjudication; (2) highlights of 1976 major events regarding jobs, wages, and services; (3) statistics on WIN characteristics of the WIN population (numbers who registered in WIN, entered employment, and deregistered by sex, race, age, and education); and (4) comparison of 1975 and 1976 statistics on intake, employment, and employment and training programs. The fifth section covers program results and includes tables on job entries by occupation and sex; entry wages by sex, race, and age; and types and numbers of supportive services initiated during the first quarters of FY 1976 and FY 1975. A brief section on funding covers the program costs and the basis for making State allocations. Finally, the last section, a perspective on WIN, traces the program background and chronology of WIN legislative documents and their program effects, revised WIN regulations, projects initiated to evaluate WIN and test innovations; and focus for FY 1977. An appendix includes 5 tables regarding unemployment rates and WIN job entries by State; WIN registrants and those entering employment and deregistering; hourly wages by sex and State; and initiated social and day care services by State. (EM)