Chapter Three U.S. Poverty & Implications for Social Work Social Work & Social Welfare: An Invitation (2nd ed.)

Discussion Minute paper “Attitudes toward welfare” reactions Briefly describe yourself (character, traits, and values) in terms of how you perceive the world and human nature. Briefly discuss how these qualities may impact your professional work. “Attitudes toward welfare” reactions

Key Ideas What is poverty? Who are the poor? Causes of poverty Poverty line and guidelines Who is on welfare? Social welfare programs

What is Poverty? Hunger Lack of shelter Fear for the future and living one day at a time Powerlessness, lack of representation and freedom Hunger Lack of shelter Being sick and not being able to see a doctor Not being able to go to school and not knowing how to read Not having a job Fear for the future and living one day at a time Losing a child to illness brought on by unclean water Powerlessness, lack of representation and freedom Photo by Angelo Gonzalez.

Poverty Line Mollie Orshansky developed the poverty thresholds Used the cost of food as the basis for a cost‑of‑living estimate In 1964, the U.S. government defined the poverty line: the minimum income for an individual or family to meet basic needs In 2011, the federal poverty line was $23,018 for a family of four Many consider the income specified by the poverty line to be inadequate to meet even basic needs of families and individuals Spending patterns today are different from those in 1964, and families spend more on transportation, housing, and medical care Mollie Orshansky in 1967 http://www.ssa.gov/history/orshansky.html SSA History Archives

Persons in family/household 2014 Poverty Guidelines Persons in family/household Poverty guideline 1 $11,670 2 15,730 3 19,790 4 23,850 5 27,910 6 31,970 7 36,030 8 40,090 For families/households with more than 8 persons, add $4,060 for each additional person. (Not including Alaska and Hawaii) There are two slightly different versions of the federal poverty measure:  The poverty thresholds, and The poverty guidelines. The poverty thresholds are the original version of the federal poverty measure.  They are updated each year by the Census Bureau (although they were originally developed by Mollie Orshansky of the Social Security Administration).  The thresholds are used mainly for statistical purposes — for instance, preparing estimates of the number of Americans in poverty each year.  (In other words, all official poverty population figures are calculated using the poverty thresholds, not the guidelines.)  Poverty thresholds since 1973 (and for selected earlier years) and weighted average poverty thresholds since 1959 are available on the Census Bureau’s Web site.  For an example of how the Census Bureau applies the thresholds to a family’s income to determine its poverty status, see “How the Census Bureau Measures Poverty” on the Census Bureau’s web site. The poverty guidelines are the other version of the federal poverty measure. They are issued each year in the Federal Register by the Department of Health and Human Services (HHS).  The guidelines are a simplification of the poverty thresholds for use for administrative purposes — for instance, determining financial eligibility for certain federal programs.  The Federal Register notice of the 2012 poverty guidelines is available. The poverty guidelines are sometimes loosely referred to as the “federal poverty level” (FPL), but that phrase is ambiguous and should be avoided, especially in situations (e.g., legislative or administrative) where precision is important. Key differences between poverty thresholds and poverty guidelines are outlined in a table under Frequently Asked Questions (FAQs). See also the discussion of this topic on the Institute for Research on Poverty’s web site. http://aspe.hhs.gov/poverty/14poverty.cfm

At-Risk Groups 1 in 7 Americans living in poverty in 2010 By age 65, 64% of Americans will require assistance from at least one form of social welfare Certain groups are vulnerable to living in poverty: Women American Indians, African Americans, Latinos Older adults Many Americans are among the “working poor” Supplemental Poverty Measure Research The Census Bureau, with assistance from the Bureau of Labor Statistics and in consultation with other appropriate agencies and outside experts, introduces research on a new measure of poverty to complement the official measure, which has been in use since the 1960s. The official measure will continue to be produced every year and be used to assess eligibility for government programs and determine funding distribution. The supplemental poverty measure, on the other hand, is intended to better reflect contemporary social and economic realities and government policy effects and thus provide a further understanding of economic conditions and trends. This report presents estimates of the prevalence of poverty at the national level in 2010 -- overall and for selected demographic groups -- for both the official and supplemental measures. Internet address: <http://www.census.gov/newsroom/releases/archives/news_conferences/2011-11-04_spm_webinar.html>. The poverty rate for those 65 and older was 15.9 percent based on the supplemental measure, much higher than the 9 percent rate for the elderly when using the official poverty yardstick. The biggest factor increasing the poverty rate for seniors under the alternative measure was out-of-pocket medical expenses, which are not captured by the official poverty rate but are by the alternative measure. http://www.washingtonpost.com/business/economy/census-bureau-report-more-americans-living-in-poverty/2011/11/07/gIQAAHm1wM_story.html

The Working Poor At least 27 weeks in the labor force, but incomes still fall below the poverty line 7.0% for individuals and 7.9% for families The “working poor” are those who spend at least 27 weeks in the labor force but whose incomes still fall below the poverty line In recent years, the percentage of working poor has climbed from 5.1 (2006) to 7.0 (2009) for individuals, and 6.1 (2006) 7.9 (2009) for families The total income for a family of four in which one member is working full-time at minimum wage falls around $8000 below the poverty line 4% for full-time workers

Living in Poverty USA http://www.usccb.org/about/catholic-campaign- for-human-development/povertyusa/ Poverty quiz: http://www.povertyusa.org/poverty- resources/quiz/

Causes of Poverty The Debate: “the individual is responsible” vs. “societal structure is responsible” Solid Ground www.solid-ground.org/.../SPAN/Pages/default.aspx What do you think?

Poverty According to Rank (2006) Poverty occurs when the structure fails People move in and out of poverty Poverty creates deprivation that includes quality of life, health, and opportunities Poverty is an injustice Poverty affects everyone through creating problems in health, education, and crime

Abromovitz: Everyone is on Welfare Social (DHHS, Education, HUD) Fiscal (IRS) Occupational (Individual Firms) Corporate (Government) About $59 billion is spent on traditional social welfare programs. $92 billion is spent on corporate subsidies. So, the government spent 50% more on corporate welfare than it did on food stamps and housing assistance in 2006. http://thinkbynumbers.org/government-spending/corporate-welfare/corporate-welfare-statistics-vs-social-welfare-statistics/

Data from the National Center for Educational Statistics Data from the National Center for Educational Statistics. For 1990 through 2009, the population receiving public assistance is defined as persons living in households who reported receiving public assistance, Supplemental Security Income (SSI), veterans’ payments, or Temporary Assistance for Needy Families (TANF) (or its predecessor Aid to Families with Dependent Children [AFDC]). TANF replaced ADFC in 1996. 

Percentage of each race/ethnicity and gender using public assistance

Social Welfare Programs Universal Selective Social Security Medicare TANF SSD/SSI Medicaid Food Stamps WIC EITC Head Start Social welfare is a societal effort to help people achieve and maintain physical, emotional, and financial well-being. The word “welfare” has come to have a negative political connotation because of its association with poverty and dependence Two types of welfare exist: universal (everyone gets it) and selective (people who meet income or other criteria get it) Means-tested welfare is allocated based on the income of the recipient—like TANF (financial assistance to people in poverty, commonly referred to as “welfare”), SNAP (food stamps), and SSI (income for people with disabilities who cannot work) The word “welfare” is associated with means-tested programs, but our social welfare system includes universal programs such as: Student loans for college and graduate school Social security for the elderly Unemployment benefits

The Political Role of Social Workers: Advocacy Creating a safety net for people experiencing poverty Helping those in poverty build financial and social capital Promoting services that focus on the underlying causes of poverty In a recent policy statement, the NASW called on social workers to advocate for a range of policies, including: Creating a safety net for people experiencing poverty through child support for single parents, universal healthcare, increase in earned income tax credits, and livable wages Helping and encouraging those in poverty to build financial assets Enabling people in poverty to integrate work, education, and family life Promoting services that focus on the underlying causes of poverty, such as mental illness, domestic violence, sexual abuse, illiteracy, and substance abuse

TANF in Massachusetts Transitional Aid to Families with Dependent Children (TAFDC) http://www.massresources.org/pages.cfm?contentID=1 7&pageID=4&subpages=yes&dynamicID=348

Exercises and Discussion Financial help for the Sanchez family A budget for Tonya and her children http://www.povertyusa.org/the-state-of- poverty/poverty-map-state/ www.epi.org/content/budget_calculator http://www.massresources.org/pages.cfm?contentID=1 7&pageID=4&subpages=yes&dynamicID=353