Are lorenzo and neha living in poverty

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Understanding the U.S. poverty line

The following table shows the U.S. poverty thresholds for 2011 by size of family and number of related children under the age of 18. All figures are in dollars. For example, a family with two adults and three children is considered to be living in poverty if the family's income in 2011 is below $26,844.

Size of Family Unit

Related Children under 18 Years

None

One

Two

Three

Four

Five

One person (unrelated individual)

 

 

 

 

 

 

Under 65 years

11,702

 

 

 

 

 

65 years and over

10,788

 

 

 

 

 

Two persons

 

 

 

 

 

 

Households under 65 years

15,063

15,504

 

 

 

 

Households 65 years and over

13,596

15,446

 

 

 

 

Three persons

17,595

18,106

18,123

 

 

 

Four persons

23,201

23,581

22,811

22,891

 

 

Five persons

27,979

28,386

27,517

26,844

26,434

 

Six persons

32,181

32,309

31,643

31,005

30,056

29,494

Seven persons

31,029

37,260

36,463

35,907

34,872

33,665

Eight persons

41,414

41,779

41,027

40,368

39,433

38,247

Nine persons or more

49,818

50,059

49,393

48,835

47,917

46,654

Source: "Poverty Thresholds by Size of Family and Number of Children, 2011", United States Census Bureau, last modified September 12, 2012, accessed September 24, 2012, https://www.census.gov/hhes/www/poverty/data/threshld/.

Neha and Lorenzo are married, under the age of 65, and have five children under the age of 18. Lorenzo works full time and earns $20,000, while Neha works part time and earns $9,000. Thus, in total, their family income is $29,000. Are Lorenzo and Neha living in poverty?

  • Yes
  • No

Suppose that Lorenzo divorces Neha and leaves the family without paying alimony or child support. Neha must now support her five children alone, so she begins working full time and earns a total of $16,000. Are Neha and her children living in poverty?

  • Yes
  • No

Again, consider Neha, a single mother with five children under 18 who earns an annual income of $16,000. Suppose that Neha qualifies for a welfare program for single mothers that provides her with $600 cash for each child (a total of $3,000, since Neha has five children). After receiving welfare, is Neha's family living in poverty?

  • Yes
  • No

Reference no: EM131166189

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