Eh, some mix in there. Maybe 50/50. A lot of working poor people aren't dumb, and they won't be working poor for too long. A lot of working poor people make far more than enough money to not be poor, but they blow all their money as soon as they have it. Dumb and bad with money aren't too closely correlated.
I think most people think they see this far more than they really do. But again, see "bad with money". They may see someone with a nice phone and car, but dont see that they live in a ********, or that they have 6 figure debt. And this view is of course inclulcated via propaganda.
I have taken in foster children. the system pays for their food via WIC, paid on an EBT-like card. I sometimes wonder how many people see me buying kids food or baby formula on an EBT card then bacon, beer, energy drinks, etc with my personal card while using my current gen smart phone and tsk tsk at another welfare queen.
Agree on the rest. Thats mostly why there's always a push to "means test" anything nice from govt, because then people will see it as "welfare" and be against it. Pete Buttigieg did this to student debt.