Academic journal article Social Security Bulletin

The 1994 Federal Poverty Guidelines

Academic journal article Social Security Bulletin

The 1994 Federal Poverty Guidelines

Article excerpt

The Department of Health and Human Services (HHS) published the "Annual Update of the HHS Poverty Guidelines" in the February 10, 1994, Federal Register.(1) As required by law, the 1994 update reflects last year's change in the Consumer Price Index for All Urban Consumers (CPI-U). The Federal poverty guidelines are issued by HHS and are used for administrative purposes (for example, to determine whether a person or family is financially eligible for assistance or services under certain Federal programs). The guidelines are a simplified version of the Federal Government's statistical poverty thresholds that the Bureau of the Census uses to prepare its estimates of the number of persons and families in poverty. Both guidelines and thresholds consist of a series of income levels, with different values for families of different sizes, below which the families are classified as poor for administrative or statistical purposes.

Table 1 shows the 1994 poverty guidelines for various family unit sizes.(Table 1 omitted) For an unrelated individual living in any of the 48 contiguous States or the District of Columbia, the amount is 7,360 (an increase of $390 from the previous year). In Alaska and Hawaii, the 1994 guidelines for one person are $9,200 (up $500) and $8,470 (up $430), respectively. Each additional person increases the poverty guideline by $2,480 in the contiguous States and the District of Columbia, $3,100 in Alaska, and $2,850 in Hawaii. A year earlier, these amounts were $2,460, $3,080, and $2,820, respectively. …

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