Poverty
Almost 3.5 million elderly persons
(9.0%) were below the poverty level in 2010.
This poverty rate is not statistically
different from the poverty rate in 2009
(8.9%). Another 2.3 million or 5.8% of the
elderly were classified as "near-poor"
(income between the poverty level and 125%
of this level).
One of every 15 elderly Whites**
(6.8%) was poor in 2010, compared to 18.0%
of elderly African-Americans, 14.6% of
Asians, and 18.0% of elderly Hispanics.
Higher than average poverty rates were found
in 2010 for older persons who lived in
principal cities (11.2%), outside
metropolitan areas (i.e. rural areas and
small towns) (10.4%), and in the South
(10.5%).
Older women had a higher poverty
rate (10.7%) than older men (6.7%) in 2010.
Older persons living alone were much more
likely to be poor (16.0%) than were older
persons living with families (5.3%). The
highest poverty rates were experienced among
Hispanic women (40.8%) who lived alone and
also by older Black women (30.7%) who lived
alone.
During 2011, the U.S. Census Bureau
released a new Supplemental Poverty Measure
(SPM). The SPM methodology shows a
significantly higher number of older persons
below poverty than is shown by the official
poverty measure. For persons 65 and older
this poverty measure shows a poverty level
of 15.9% (an increase of over 75% over the
official rate of 9.0%). Unlike the official
poverty rate, the SPM takes into account
regional variations in the cost of housing
etc. and, even more significantly, the
impact of both non-cash benefits received
(e.g., SNAP/food stamps, low income tax
credits, WIC, etc.) and non-discretionary
expenditures including medical out-of-pocket
(MOOP) expenses. For persons 65 and over,
MOOP was the major source of the significant
differences between these measures. Bear in
mind that the SPM does not replace the
official poverty measure.
(Based on data from Current
Population Survey, Annual Social and
Economic Supplement, “Income, Poverty, and
Health Insurance Coverage in the United
States: 2010,” P60 239, issued September,
2011, by the U.S. Census Bureau and related
Census detailed tables on the U.S. Census
Bureau web site and on “The Research
Supplemental Poverty Measure,” P60-241,
issued November 2011)
