Data Sources
- March Supplement of the Current Population Survey (ASEC)
- Supplemental Poverty Measure Public Use Research Files
Records were matched across these two datasets in order to create the database that the poverty calculator uses to generate its figures.
Incomes
- Market Income – All cash income from any source except Unemployment Compensation, Social Security, Supplemental Security Income, Welfare, Veteran’s Benefits, and tax credits. Using the Census variables, the figure is derived as follows: Market Income = FTOTVAL – FUCVAL – FSSVAL – FSSIVAL – FPAWVAL – FVETVAL.
- Social Security – All income from the Social Security program, which includes old-age, disability, and survivor’s benefit payments. Census variable: FSSVAL.
- Supplemental Security Income – All income from the Supplemental Security Income program, which provides benefits to poor people who are elderly, blind, or disabled. Census variable: FSSIVAL.
- Unemployment Compensation – All income from Unemployment Compensation programs, which provides income to people who have lost their job. Census variable: FUCVAL.
- Welfare (TANF) – All income from TANF and other general assistance programs. The Census defines this variable as “Public assistance or welfare payments include public assistance payments such as Aid to Families with Dependent Children and general assistance.” AFDC does not exist anymore, as TANF has replaced it. Census variable: FPAWVAL.
- Veteran’s Benefits – All cash income from veteran’s benefit programs. Census variable: FVETVAL.
- Food Stamps (SNAP) – The cash equivalent of food vouchers received through the Supplemental Nutritional Assistance Program (SNAP). Census variable: spmu_snapsub.
- Free/Subsidized School Lunch – The cash equivalent of the free or reduced-price school lunch received by low-income children. Census variable: spmu_schlunch.
- Women, Infants, and Children (WIC) – The cash equivalent of the food vouchers received through the Women, Infants, and Children (WIC) program. Census variable: spmu_wicval.
- Housing Subsidies – The cash equivalent of housing subsidies received through such programs as Section 8 housing vouchers. Census variable: spmu_caphousesub.
- Home Energy Subsidies – The cash equivalent of energy subsidies received through such programs as the Low Income Heating Assistance Program (LIHEAP). Census variable: spmu_engval.
- Earned Income Tax Credit – The income received through the Earned Income Tax Credit (EITC) program. Census variable: spmu_eitc.
- Child Tax Credit – The income received through the Child Tax Credit (CTC) and Additional Child Tax Credit (ACTC) programs. For the calculator, I combine the programs under the single heading “Child Tax Credit.” Using the Census variables, the amount received is derived as follows: Child Tax Credit = CTC_CRED + spmu_actc.
Income Reducers
- Federal Income Tax – The amount paid in federal income taxes without taking into consideration any reduction in tax liability from the Child Tax Credit or the Earned Income Tax Credit. Using the Census variables, this amount is derived as follows: spmu_fedtaxbc + CTC_CRED.
- Federal Payroll Tax – The amount paid in Federal Insurance Contributions Act taxes. These taxes fund Medicare, and Social Security. Census variable: spmu_fica.
- State taxes – The amount paid in state taxes. Census variable: spmu_sttax.
- Child Support Paid – The amount paid to another family unit for child support, e.g. a divorced parent paying child support to their former spouse. Census variable: spmu_childsuppd.
- Medical Out-of-Pocket Expenses – The amount paid out of pocket for medical expenses. Census variable: spmu_moop.
- Child Care & Work-Related Expenses – The amount paid for child care and other work-related expenses. This figured is capped at a certain amount by the Census. I use the same caps the Census uses. Census variable: spmu_capwknchcarexpns.
Poverty Lines/Units
- Supplemental Poverty Line – When selected, the Supplemental Poverty Metric’s definition of a family (also known as a “poverty unit”) is used. The Supplemental Poverty Metric’s dollar threshold for impoverishment is also used. Census variable: spmu_povthreshold.
- Supplemental Deep Poverty Line – Same as Supplemental Poverty Line except the dollar threshold for impoverishment is multiplied by 0.5. Using the Census variables, it is defined as: Supplemental Deep Poverty Line = spmu_povthreshold * 0.5.
- Supplemental Near Poverty Line – Same as Supplemental Poverty Line except the dollar threshold for impoverishment is multiplied by 1.5. Using the Census variables, it is defined as: Supplemental Near Poverty Line = spmu_povthreshold * 1.5.
- Official Poverty Line – When selected, the Official Poverty Metric’s definition of a family (also known as a “poverty unit”) is used. The Official Poverty Metric’s dollar threshold for impoverishment is also used. Census variable: FPOVCUT.
- Official Deep Poverty Line – Same as Official Poverty Line except the dollar threshold for impoverishment is multiplied by 0.5. Using the Census variables, it is defined as: Official Deep Poverty Line = FPOVCUT * 0.5.
- Official Near Poverty Line – Same as Official Poverty Line except the dollar threshold for impoverishment is multiplied by 1.5. Using the Census variables, it is defined as: Official Near Poverty Line = FPOVCUT * 1.5.
Years
The years refer to the calendar year in which the income and income reducers took place. For example, 2012 refers to all income and income reductions that took place from January 1, 2012 to December 31, 2012.