Income and Poverty in the United States: 2018 Current Population Reports
Total Page:16
File Type:pdf, Size:1020Kb
Income and Poverty in the United States: 2018 Current Population Reports By Jessica Semega, Melissa Kollar, John Creamer, and Abinash Mohanty Issued September 2019 Revised June 2020 P60-266(RV) Jessica Semega and Melissa Kollar prepared the income section of this report Acknowledgments under the direction of Jonathan L. Rothbaum, Chief of the Income Statistics Branch. John Creamer and Abinash Mohanty prepared the poverty section under the direction of Ashley N. Edwards, Chief of the Poverty Statistics Branch. Trudi J. Renwick, Assistant Division Chief for Economic Characteristics in the Social, Economic, and Housing Statistics Division, provided overall direction. Vonda Ashton, David Watt, Susan S. Gajewski, Mallory Bane, and Nancy Hunter, of the Demographic Surveys Division, and Lisa P. Cheok of the Associate Directorate for Demographic Programs, processed the Current Population Survey 2019 Annual Social and Economic Supplement file. Andy Chen, Kirk E. Davis, Raymond E. Dowdy, Lan N. Huynh, Chandararith R. Phe, and Adam W. Reilly programmed and produced the historical, detailed, and publication tables under the direction of Hung X. Pham, Chief of the Tabulation and Applications Branch, Demographic Surveys Division. Nghiep Huynh and Alfred G. Meier, under the supervision of KeTrena Phipps and David V. Hornick, all of the Demographic Statistical Methods Division, conducted statistical review. Lisa P. Cheok of the Associate Directorate for Demographic Programs, provided overall direction for the survey implementation. Roberto Cases and Aaron Cantu of the Associate Directorate for Demographic Programs, and Charlie Carter and Agatha Jung of the Information Technology Directorate prepared and pro- grammed the computer-assisted interviewing instrument used to conduct the Annual Social and Economic Supplement. Additional people within the U.S. Census Bureau also made significant contribu- tions to the preparation of this report. Gloria G. Guzmán, Bernadette D. Proctor, Bruce H. Webster, Jr., Kurt Bauman, and Jason Fields reviewed the contents. Census Bureau field representatives and telephone interviewers collected the data. Without their dedication, the preparation of this report or any report from the Current Population Survey would be impossible. Corey T. Beasley, Amanda J. Perry, and Christine E. Geter provided publication management, graphics design and composition, and editorial review for print and electronic media under the direction of Janet Sweeney, Chief of the Graphic and Editorial Services Branch, Public Information Office.William A. Burbano and George E. Williams of the Census Bureau’s Administrative and Customer Services Division provided printing management. Income and Poverty in Issued September 2019 the United States: 2018 Revised June 2020 P60-266(RV) U.S. Department of Commerce Wilbur Ross, Secretary Karen Dunn Kelley, Deputy Secretary U.S. CENSUS BUREAU Steven Dillingham, Director Suggested Citation Semega, Jessica, Melissa Kollar, John Creamer, and Abinash Mohanty, U.S. Census Bureau, Current Population Reports, P60-266(RV), Income and Poverty U.S. CENSUS BUREAU in the United States: 2018, Steven Dillingham, U.S. Government Printing Office, Director Washington, DC, Ron Jarmin, 2020 Deputy Director and Chief Operating Officer Victoria A. Velkoff, Associate Director for Demographic Programs David G. Waddington, Chief, Social, Economic, and Housing Statistics Division Contents TEXT INTRODUCTION ............................................... 1 Summary of Findings ........................................... 1 INCOME IN THE UNITED STATES ................................ 1 Highlights ..................................................... 1 Household Income ............................................ 3 Caution for Historical Comparisons. 3 Type of Household ............................................. 4 Race and Hispanic Origin ....................................... 4 Age of Householder ............................................ 4 Nativity ....................................................... 5 Region ........................................................ 6 Residence ..................................................... 6 Income Inequality .............................................. 6 Equivalence-Adjusted Income Inequality ......................... 8 Earnings and Work Experience . 9 POVERTY IN THE UNITED STATES ............................... 12 Highlights ..................................................... 12 Race and Hispanic Origin ....................................... 15 Sex ........................................................... 15 Age ........................................................... 15 Nativity ....................................................... 16 Region ........................................................ 16 Residence ..................................................... 17 Work Experience ............................................... 17 Disability Status ................................................ 17 Educational Attainment ......................................... 17 Families ....................................................... 17 Shared Households ............................................. 18 Depth of Poverty ............................................... 18 Ratio of Income to Poverty ...................................... 18 Income Deficit ................................................. 19 ADDITIONAL INFORMATION ON INCOME AND POVERTY ......... 19 State and Local Estimates of Income and Poverty ................. 19 Longitudinal Estimates .......................................... 20 The Supplemental Poverty Measure .............................. 20 Interagency Technical Working Group on Evaluating Alternative Measures of Poverty .......................................... 21 SOURCE AND ACCURACY OF THE ESTIMATES .................. 21 U.S. Census Bureau Income and Poverty in the United States: 2018 iii FIGURES Figure 1. Median Household Income and Percent Change by Selected Characteristics ..................... 2 Figure 2. Real Median Household Income by Race and Hispanic Origin: 1967 to 2018 ..................... 5 Figure 3. Income Distribution Measures and Percent Change Using Money Income and Equivalence-Adjusted Income .............................................................. 7 Figure 4. Median Earnings and Percent Change by Selected Characteristics .............................. 9 Figure 5. Female-to-Male Earnings Ratio and Median Earnings of Full-Time, Year-Round Workers 15 Years and Older by Sex: 1960 to 2018 ................................................... 10 Figure 6. Total and Full-Time, Year-Round Workers With Earnings by Sex: 1967 to 2018 ................... 11 Figure 7. Number in Poverty and Poverty Rate: 1959 to 2018 ........................................... 12 Figure 8. Poverty Rate and Percentage Point Change by Selected Characteristics: People ................. 13 Figure 9. Poverty Rate and Percentage Point Change by Type of Family Families and People .............. 14 Figure 10. Poverty Rates by Age and Sex ............................................................. 15 Figure 11. Poverty Rates by Age: 1959 to 2018 ........................................................ 16 Figure 12. Demographic Makeup of the Population at Varying Degrees of Poverty: 2018 .................. 19 APPENDIXES Appendix A. Estimates of Income ................................................................... 23 How Income Is Measured ......................................................................... 23 Business Cycles .................................................................................. 23 Annual Average Consumer Price Index Research Series (CPI-U-RS) Using Current Methods All Items: 1947 to 2018 ........................................................................ 24 Cost-of-Living Adjustment ........................................................................ 24 Poverty Threshold Adjustment .................................................................... 24 Appendix B. Estimates of Poverty ................................................................... 49 How Poverty Is Calculated ........................................................................ 49 Poverty Thresholds for 2018 by Size of Family and Number of Related Children Under 18 Years ......... 49 Weighted Average Poverty Thresholds in 2018 by Size of Family ..................................... 49 Appendix C. Replicate Weights ..................................................................... 69 References ...................................................................................... 69 Appendix D. Comparison of 2017 Income and Poverty Estimates using the Legacy and Updated Processing Systems ...................................................................... 71 Income ......................................................................................... 72 Poverty. 72 Appendix E. Additional Data and Contacts ........................................................... 77 Customized Tables .............................................................................. 77 New Data Platform ............................................................................ 77 Public Use Microdata ............................................................................. 77 CPS ASEC .................................................................................... 77 Taxes and Noncash Benefits ...................................................................