To convert into a requirement the option of States to deny aid to families with dependent children to unmarried minors not living at home or under adult supervision, and narrow the exceptions to the requirement, and to deem to a minor parent all income of the minor's parents who are living in the same home as the minor parent.

Amends part A (Aid to Families with Dependent Children) (AFDC) of title IV of the Social Security Act to convert into a requirement the option of a State to deny AFDC benefits to unmarried minors not living at home or under adult supervision. Repeals the exception to such requirement where no living parent or legal guardian of an individual allows him or her to live in the parent's or guardian's home.

Deems to a minor parent all income of the minor's parents living in the same home as the minor parent.