The U.S. Census Bureau announced today that in 2013, the poverty rate declined from the previous year for the first time since 2006, while there was no statistically significant change in either the number of people living in poverty or real median household income. In addition, the poverty rate for children under 18 declined from the previous year for the first time since 2000. The following results for the nation were compiled from information collected in the 2014 Current Population Survey Annual Social and Economic Supplement.
The nation’s official poverty rate in 2013 was 14.5 percent, down from 15.0 percent in 2012. The 45.3 million people living at or below the poverty line in 2013, for the third consecutive year, did not represent a statistically significant change from the previous year’s estimate.
Median household income in the United States in 2013 was $51,939; the change in real terms from the 2012 median of $51,759 was not statistically significant. This is the second consecutive year that the annual change was not statistically significant, following two consecutive annual declines.
The percentage of people without health insurance coverage for the entire 2013 calendar year was 13.4 percent; this amounted to 42.0 million people.
These findings are contained in two reports: Income and Poverty in the United States: 2013 and Health Insurance Coverage in the United States: 2013. The Current Population Survey Annual Social and Economic Supplement was conducted between February and April 2014 and collected information about income and health insurance coverage during the 2013 calendar year. The Current Population Survey, sponsored jointly by the U.S. Census Bureau and U.S. Bureau of Labor Statistics, is conducted every month and is the primary source of labor force statistics for the U.S. population; it is used to calculate the monthly unemployment rate estimates. Supplements are added in most months; the Annual Social and Economic Supplement questionnaire is designed to give annual, calendar-year, national estimates of income, poverty and health insurance numbers and rates.
Traditionally, the Census Bureau releases detailed comparisons of year-to-year changes in health insurance from this survey. However, because of the redesign of the Current Population Survey’s health insurance section of the questionnaire, its estimates of health insurance coverage are not directly comparable to estimates from prior years. Research suggested the Current Population Survey estimates needed improvement, as the estimates were not in line with other sources. The redesigned survey is based on over a decade of research, including two national field tests as well as cognitive testing. The survey improvements this year will better measure health insurance coverage for the prior calendar year, thus providing a strong 2013 baseline to measure future changes in health insurance coverage caused by the Affordable Care Act.
The health insurance report contains Current Population Survey statistics only for 2013. However, limited statistics on year-to-year changes based on the American Community Survey are available in the report. The report also includes state-level American Community Survey health insurance coverage statistics. According to the American Community Survey, the percent of people without health insurance coverage declined 0.2 percent between 2012 and 2013.
The American Community Survey has collected data on health insurance coverage since 2008. Additional sources of health insurance coverage data not included in this report are the Small Area Health Insurance Estimates and National Health Interview Survey.
The Current Population Survey-based income and poverty report includes comparisons with one year earlier. State and local income and poverty results, as well as state and local health insurance coverage results, will be available Thursday, Sept. 18, from the American Community Survey.
Shared households are defined as households that include at least one “additional” adult: a person 18 or older who is not enrolled in school and is not the householder, spouse or cohabiting partner of the householder. The information on shared households covers adults living in the household at the time of the survey.
The poverty statistics released today compare the official poverty thresholds to money income before taxes, not including the value of non-cash benefits. The Census Bureau’s statistical experts, with assistance from the Bureau of Labor Statistics and in consultation with other federal agencies and researchers from both within and outside of academia, have developed a supplemental poverty measure to serve as an additional indicator of economic well-being by incorporating additional items such as tax payments and work expenses in its family resource estimates. It does not replace the official poverty measure and will not be used to determine eligibility for government programs. See Income and Poverty in the United States: 2013 for more information. The Census Bureau published preliminary poverty estimates using this supplemental measure in November 2011, 2012 and 2013. Supplemental poverty estimates for 2013 will be published in October 2014.
On Thursday, Sept. 18, the Census Bureau will release single-year estimates of median household income, poverty and health insurance for all states, counties, places and other geographic units with populations of 65,000 or more from the 2013 American Community Survey. These statistics will include numerous social, economic and housing characteristics, such as language, education, commuting, employment, mortgage status and rent. Later today, subscribers will be able to access these estimates on an embargoed basis. Reports on income, poverty and health insurance using American Community Survey data will also be released Thursday.
The American Community Survey provides a wide range of important statistics about people and housing for every community (i.e., census tracts, or neighborhoods) across the nation. The results are used by everyone from town and city planners to retailers and homebuilders. The survey is the only source of local estimates for most of the 40 topics it covers for even the smallest communities.
The 2014 Current Population Survey Annual Social and Economic Supplement included redesigned questions for income and health insurance coverage. All of the approximately 98,000 addresses included in the survey were eligible to receive the redesigned health insurance coverage questions. The redesigned income questions were implemented to a subsample of those 98,000 addresses using a probability split panel design. Approximately 68,000 addresses were eligible to receive income questions similar to those used in the 2013 survey and the remaining 30,000 addresses were eligible to receive the redesigned income questions. The source of data in both reports, Income and Poverty in the United States: 2013 and Health Insurance Coverage in the United States: 2013, is the portion of the Current Population Survey Social and Economic Supplement sample (68,000 addresses) that received the set of income questions consistent with those in the 2013 survey. A probability split panel design means the Census Bureau assigned each address in the sample to either the traditional questionnaire or the alternate redesigned questionnaire based on a random number.
The Current Population Survey Annual Social and Economic Supplement is subject to sampling and nonsampling errors. All comparisons made in the report have been tested and found to be statistically significant at the 90 percent confidence level, unless otherwise noted.
For additional information on the source of the data and accuracy of the estimates, visit <//www2.census.gov/library/publications/2014/demo/p60-249sa.pdf >.
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