If you're a welfare recipient the typically arrangement is for the rent to cost somewhere in the vicinity of 1/3 of your payment. Full rate Unemployment benefit in Australia is $600 a fortnight including something like $100 a fortnight 'Rent Assistance' payment. I believe welfare payment for people unfit for work for whatever reason is slightly more.
Australia also has fairly good services to homeless and disabled provided by the outreach sections of church organisations. Salvation Army and Mission Australia are the two I'm most familiar with. These services will, in certain circumstances, furnish a home and supply clothes.
We still have homelessness. Services are still stretched to their limits. There's a waiting period for the able-bodied to get in to public housing. We still have rough neighbour hoods.
I've never lived in a housing project and to tell you the truth, most of what I know about them comes from hip hop. But, I'd rather live in the projects than under a bridge...