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Poverty in America Increases in Past Years

"Real median household income showed no change between 2002 and 2003. Both the number of people in poverty and the poverty rate increased between 2002 and 2003. The number and percentage of people without health insurance coverage, as well as the number of people with health insurance coverage, rose. These changes were not uniform across demographic groups. For example, Hispanics experienced declines in real median household income, Asians experienced increases in poverty, and non-Hispanic Whites had declines in health insurance coverage."

from: Income, Poverty, and Health Insurance Coverage in the United States: 2003, U.S Census Bureau

Click here for a copy of the Report in pdf format. (801 kb)

Other key information from the report:

• The official poverty rate in 2003 was 12.5 percent, up from 12.1 percent in 2002.

• In 2003, 35.9 million people were in poverty, up 1.3 million from 2002.

• Poverty rates remained unchanged for Hispanics, non-Hispanic Whites, and Blacks, although it rose for Whites and Asians.21

For children under 18 years old, both the poverty rate and the number in poverty rose between 2002 and 2003, from 16.7 percent to 17.6 percent, and from 12.1 million to 12.9 million, respectively. The poverty rate of children under 18 remained higher than that of 18-to-64-year olds and that of seniors aged 65 and over (10.8 percent and 10.2 percent, respectively, both unchanged from 2002). The poverty rate in 2003 12.5 percent) is 9.9 percentage points lower than in 1959, the first year for which poverty estimates are available, as shown in Figure From the most recent trough in 2000, both the number and rate have risen for three consecutive years, from 31.6 million and 11.3 percent in 2000, to 35.9 million and 12.5 percent in 2003.

Race and Hispanic Origin

In 2003, the poverty rate was 8.2 percent for non-Hispanic Whites, unchanged from 2002 (Table 3). Because the poverty rate for these non-Hispanic Whites was lower than for the other racial groups, they accounted for 44.3 percent of the people in poverty, compared with 67.6 percent of the total population. For Blacks, neither the poverty rate nor the number in poverty changed between 2002 and 2003, as shown Table 3.23 People who reported Black as their only race, for example, had poverty rate of 24.4 percent in 2003.

Among people who indicated Asian as their only race, 11.8 percent were in poverty in 2003, higher than the 10.1 percent in 2002. The number in poverty also increased (from 1.2 million to 1.4 million).

Among Hispanics, the poverty rate remained unchanged at 22.5 percent in 2003, although their number in poverty increased from 8.6 million in 2002 to 9.1 million in 2003. The 3-year average poverty rate for people who reported American Indian and Alaska Native as their only race (23.2 percent) was not different from the rates for Blacks or the rate for Hispanics. It was higher than the rates for other race groups.

The 3-year average poverty rate for people who reported American Indian and Alaska Native regardless of whether they also reported another race (20.0 percent) was lower than the rates for Blacks, or the rate for Hispanics, and higher than the rates for other race groups.

 

Poverty in Lancaster County

Poverty in Pennsylvania:

10% of Pennsylvania residents live in poverty compared to 11.3% nationwide.

15% of Pennsylvania's children live in poverty compared to 16.2% nationwide

Poverty in Lancaster County

Poverty exists in every municipality in Lancaster County. According to the 2000 Census, 470,658 people reside in the County. Of that number, 7.8% (or 35,553 individuals) live in poverty. Poverty is highest in African-American (28.7%) and Hispanic families (38%).  Of the 5,569 families who live in poverty, 3,060 are families headed by single females. 

The greatest numbers of low income individuals are located in the City of Lancaster, Lancaster Township, Manheim Township and the Borough of Columbia. The greatest percentages of poverty occur in the City of Lancaster (21.20%), Millersville Borough (16.4%), Leacock Township (15.4%), Earl Township (15.%) and and in the Solanco areas of Fulton (13.7%), Little Britain Township (13.6%) and Bart Township (13%). For a summary of poverty in Lancaster County for every municipality in  pdf format, click here.

Poverty by school district: Click here for a summary of poverty by school district in Lancaster County

The census also shows that 13,261 children live in poverty in the County, while 3,999 senior citizens live in poverty.  In terms of housing costs, the census showed that over 42% of all families pay more than 30% of their household income for gross rental costs.

The following shows the degree and increase of concentration of poverty in the City of Lancaster, versus the immediate suburbs of the metropolitan area.

 

 

Metro Region

Central City

Suburb

Central City-Suburb Disparity

 

1990

2000

1990

2000

1990

2000

1990

2000

Median HH income

43,160

45,507

28,840

29,770

45,530

47,471

0.63

0.63

Per capita income

18,479

20,398

13,867

13,955

19,173

21,274

0.72

0.66

% Below poverty

8

7.8

21

21.2

6.1

6

0.29

0.29

% College

16.7

20.5

13.4

14

17.1

21.3

0.78

0.66

% Professional

26.7

28.1

22.6

21.4

27.3

28.9

0.83

0.74

% Unemployed

3.1

3

6.5

7.8

2.7

2.4

0.41

0.31

% Homeowners

69.4

70.8

47

46.6

73

74.2

0.64

0.63

%Vacant housing

3.5

4.1

5.7

9.1

3.2

3.4

0.55

0.37

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

City Index - Suburban Index

Source: Lewis Mumford Center
http://mumford1.dyndns.org/cen2000/CityProfiles/Profiles/4000msaProfile.htm

Poverty Rate (Percent)

While the poverty rate in the SMSA and the suburban areas has declined between 1989 and 1999, it has increased in the central city.

*Estimated poverty rates for 1993, 1995, 1997, and 1998 are derived from the Census Bureau's Small Area Income and Poverty Estimates.

Median Family Income in 1999 Dollars


 
Lancaster, PA MSA Central city of:
Lancaster,PA
Suburbs*
1969 $45,105 $39,199 $46,285
1979 $47,194 $35,438 $48,881
1989 $50,774 $36,278 $52,710
1999 $52,676 $34,623 $54,634


Median Household Income in 1999 Dollars
 


 
Lancaster, PA MSA Central city of:
Lancaster, PA
Suburbs*
1969 $37,660 $26,806 $40,429
1979 $41,152 $28,701 $43,892
1989 $44,680 $29,840 $47,149
1999 $45,294 $29,770 $47,824

This shows that while the median household and median family income for all of the SMSA has increased as has that of the suburban areas, the median income has actually declined in the central city between 1989 and 1999.

*Suburb data are defined as the total for the Lancaster, PA MSA less the sum of data for Lancaster.
 

Federal Poverty Income Guidelines:

The federal government establishes eligibility for programs for low income families based upon the Federal Poverty Income guidelines which are revised every February. Programs serving low income people use different income thresholds based upon the program's federal or state legislative authority.  For a copy of those current guidelines in Adobe PDF format, click here.

Welfare Assistance in Pennsylvania, Lancaster County and Philadelphia:

For families with limited income, several types of benefits are provided in the Commonwealth of Pennsylvania:  cash assistance (TANF and General Assistance), food stamps and medical assistance.

Number of unduplicated households receiving assistance 

County

TANF – Cash

General Assistance

January 1999

 

 

State Total

115,116

51,743

Lancaster

1,456

460

Philadelphia

 57,027

26,742

January 2001

 

 

State Total

88,338

42,334

Lancaster

1,288

401

Philadelphia

43,633

21,985

July 2001

 

 

State Total

86,422

41,814

Lancaster

1,375

393

Philadelphia

42,035

21,615

July 2002

 

 

State Total

83,248

41,378

Lancaster

1,649

516

Philadelphia

38,881

20,874

July 2003

 

 

State Total

77,929

47,353

Lancaster

1,738

575

Philadelphia

34,425

23,821

April, 2004

 

 

State Total

83,600

56,074

Lancaster

1,984

899

Philadelphia

36,145

27,537

Click here for a copy (pdf format) of the complete report entitled "Welfare and Poverty in Lancaster County". (236 kb)

Temporary Assistance for Needy Families (TANF)

TANF provides money for dependent children and their parents or other relatives with whom they live, and for pregnant women. TANF payments are funded by Federal and State dollars.  Amounts provided are noted below:

Number of Persons in Budget Group

 
1 2 3 4 5 6 each additional person
$215 $330 $421 $514 $607 $687 $83

Eligiblity for TANF is based upon income and family size.

General Assistance (GA)

GA provides money for persons who do not meet the requirements for TANF. Most GA recipients are individuals or couples with no dependent children, who have temporary or permanent disabilities that prevent their employment. GA is State funded.
 
Food Stamps

Food stamp benefits are used to buy food and help low-income households obtain more nutritious diets by increasing the food purchasing power for all eligible participants.  You do not have to receive TANF or General Assistance in order to receive food stamps!

Food stamp coupons or paper food stamp cards are no longer issued. Instead, food stamp benefits are placed in an "electronic" account that only the recipient can use. This system is called Electronic Benefits Transfer or EBT.

The recipient receives a plastic card, the Pennsylvania EBT ACCESS Card. This card allows withdrawals for food purchases at grocery stores and supermarkets. The store simply uses the EBT ACCESS card to "electronically" subtract purchases from the food stamp account. The recipient can only spend the amount that is in the account. This is not a credit card.  Only food products can be purchased using the ACCESS Card.

Eligibility for food stamps is determined based upon family size and income. Click here for more information on Food Stamp eligibility.

 

Medical Assistance:

Medicaid provides payment for health care services on behalf of eligible low-income persons and individuals with limited income and high medical expenses. Payments are made directly to the health care providers. In some cases, persons may qualify for payment of medical services that were provided up to three months before the month in which a Medicaid application was completed.

Anyone who receives the following benefits is automatically eligible for Medicaid without filing a separate application:

Temporary Assistance for Needy Families (TANF)
Supplemental Security Income (SSI)
General Assistance (GA)
Refugee Cash Assistance
State Blind Pension
State Subsidized Adoption
Title IV-E Foster Care
Received TANF for at least three months of the previous six months prior to losing eligibility because of an increase in income from employment or the receipt of child support. Medicaid under these circumstances is limited to not more than 12 months for employment income and not more than 4 months due for support.

Other eligibility is determined by income and family size.

For more information on how to apply for welfare benefits, check out the Pennsylvania Department of Welfare website or contact your local County Assistance Office.

Additional information:

For additional information about poverty in America, click here to go to the poverty section of the US Census Bureau web page. For more detailed information about poverty in the County's municipalities, click on to the Penn State Data Center web page. For a summary of poverty in Lancaster Count by each municipality in Adobe pdf format, click here.

Self-Sufficiency Standard for Pennsylvania Summary Report (2001) was prepared by PathwaysPA. This outstanding report documents how much money families must earn to live without any public or private subsidies.  The Standard details the amount of money working adults in Pennsylvania need to meet their families’ basic needs for housing, food, transportation, child care, medical care and taxes.  You can down load this report right here  Self-Sufficiency Standard for Pennsylvania Summary Report in PDF Format.

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This document was last modified on 02/11/08 08:53:02 AM