This publication describes how and when it is permissible to use Temporary Assistance for Needy Families (TANF) funds for youth-related activities and services. It provides illustrations of how TANF funds are being spent on youth. The TANF block grant replaces Aid to Families with Dependent Children. The funds that states spend in order to draw down their federal allocations from this program are called maintenance-of-effort (MOE) funds. TANF and MOE funds can be used for a variety of benefits and services and can be used for youth programs. All MOE spending must be reasonably calculated to accomplish a TANF purpose, but MOE funds cannot be spent on educational activities or services that the state makes generally available to its residents. Many programs fall under TANF purposes, and TANF funds can be spent on education, employment, and youth development services not only for youth living with their parents, but also for young people living on their own, young custodial parents, and young noncustodial parents. A checklist is provided for proponents of using TANF funds for youth development or youth employment. Some examples are provided of states and counties using TANF funds for youth, and an attachment contains examples of youth programs that meet TANF purposes. (Contains 39 references.) (SLD)