Nancy K. Cauthen

Child Poverty in States Hit by Hurricane Katrina

The aftermath of Hurricane Katrina exposed glaring truths about poverty in America. Child poverty and material hardship are not just problems experienced by the states in Katrina’s path—they plague Americans around the country. Just as residents began the clean-up process, the U.S. Census Bureau released numbers showing that in 2004, the poverty rate rose for the fourth straight year in a row— 37 million Americans live below the poverty line. In the wake of this national tragedy, poverty should once again become a topic of national concern. Now is the time to focus on how to make sure no more children are left behind. This series, Child Poverty in 21st Century America, addresses the challenge.

Low-Income Families in Pennsylvania: Results from the Family Resource Simulator

About 85 percent of low-income children have parents who work, and most have at least one parent working full-time, year-round. Nonetheless, many of these parents are unable to afford basic necessities for their families, such as food, housing, and stable child care. Even a full-time job is not always enough to make ends meet, and many parents cannot get ahead simply by working more. As earnings increase—particularly as they rise above the official poverty level—families begin to lose eligibility for work supports. At the same time, work-related expenses, such as child care and transportation, increase. This means that parents may earn more without a family experiencing more financial security.1 In some cases, earning more actually leaves a family with fewer resources after the bills are paid.

Low-Income Families in Delaware: Results from the Family Resource Simulator

About 85 percent of low-income children have parents who work, and most have at least one parent working full-time, year-round. Nonetheless, many of these parents are unable to afford basic necessities for their families, such as food, housing, and stable child care. Even a full-time job is not always enough to make ends meet, and many parents cannot get ahead simply by working more. As earnings increase—particularly as they rise above the official poverty level—families begin to lose eligibility for work supports. At the same time, work-related expenses, such as child care and transportation, increase. This means that parents may earn more without a family experiencing more financial security.1 In some cases, earning more actually leaves a family with fewer resources after the bills are paid.

Making Work Pay for Iowa's Families

www.nccp.org Almost a third of Iowa’s children live in low-income families struggling to make ends meet. “Work supports” – such as earned income tax credits (EITCs), public health insurance, and child care assistance – can help such families close the gap between low wages and the cost of basic necessities. But most work supports are means-tested, so as earnings increase above the poverty level, families begin to lose critical benefits. Unfortunately in some cases, the increase in earnings is not enough to replace the lost benefits. In fact, small increases in family earnings can trigger steep reductions in benefits, leaving families worse off financially.

Low-Income Families in the District of Columbia: Results from the Family Resource Simulator

About 85 percent of low-income children have parents who work, and most have at least one parent working full-time, year-round. Nonetheless, many of these parents are unable to afford basic necessities for their families, such as food, housing, and stable child care. Even a full-time job is not always enough to make ends meet, and many parents cannot get ahead simply by working more. As earnings increase—particularly as they rise above the official poverty level—families begin to lose eligibility for work supports. At the same time, work-related expenses, such as child care and transportation, increase. This means that parents may earn more without a family experiencing more financial security.1 In some cases, earning more actually leaves a family with fewer resources after the bills are paid.

Low-Income Families in Massachusetts: Results from the Family Resource Simulator

About 85 percent of low-income children have parents who work, and most have at least one parent working full-time, year-round. Nonetheless, many of these parents are unable to afford basic necessities for their families, such as food, housing, and stable child care. Even a full-time job is not always enough to make ends meet, and many parents cannot get ahead simply by working more. As earnings increase—particularly as they rise above the official poverty level—families begin to lose eligibility for work supports. At the same time, work-related expenses, such as child care and transportation, increase. This means that parents may earn more without a family experiencing more financial security.1 In some cases, earning more actually leaves a family with fewer resources after the bills are paid.