What is Poverty in America – National Poverty Guidelines, Thresholds and Income Limits

Do you know what the income limits are to be officially be considered poor in this country? If not, then see the poverty threshold and guideline table below. The average American household (3 to 4 people) makes around $50,000 a year, so are well above the poverty line. However, with the recession and bleak unemployment picture many families this year may find themselves classified as “poor” according to official definitions. While there is little good in being poor in America, or anywhere else for that matter; the one silver lining is that if your family unit falls below or near these limits you may qualify for a number of federal and state assistance programs.

Poverty thresholds are used for calculating all official poverty population statistics — for instance, figures on the number of Americans in poverty each year.  They are updated each year by the Census Bureau. The poverty guidelines are a simplified version of the federal poverty thresholds used for administrative purposes – for instance, determining financial eligibility for certain federal programs.  They are issued each year in the Federal Register by the Department of Health and Human Services (HHS). The poverty guidelines are generally based on gross (before-tax) income, but some agencies and programs do use the after-tax (net) income for determining if family units meet the poverty guidelines. So check with the specific agency/program.