have spent some time on jobseekers benefit a few years ago. It's soul crushing and you get just enough to get by, and i'm in country where the benefits are kinda ok.

always hear stories about people that spend their life on it, but it's barely a life, you're basically just stuck loitering.

This last part is just my opinion:

Most of the people i've seen/met on it long term, the kind people others see as "sponges" are usually somewhat unwell/sickly, not unwell enough to be recognized as officially "disabled" but they'd probably be in hospital a few times a year.