Poverty Rate

What is it and why does it matter?

The poverty rate measures the percentage of people (or households) living in poverty. The Census Bureau uses a set of money income thresholds that vary by family size and composition to detect who is poor. The poverty thresholds do not vary geographically, but they are updated annually for inflation with the Consumer Price Index (CPI-U). People living in poverty are more vulnerable to losing access to the basic necessities of life such as shelter, heat, electricity, and food. Poverty also limits access to education, jobs, health care, and is related to lower educational and health outcomes in children. Lowering the poverty rate will help ensure the most vulnerable children and families are considered as the region seeks to improve economic prosperity.

Latest Southeast Michigan trend:

Poverty rates for both people and households increased from 2022 to 2023; the population poverty rate rose from 13.7% to 13.8%, while the household poverty rate rose from 13.6% to 13.9%. This rise continues from year 2019, when poverty rates were at their lowest; in that year population poverty rate was 12.7%, while household poverty rate was 12.3%.