What Is The Federal Poverty Level?

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What Is The Federal Poverty Level?

The Federal Poverty Level is the measure of poverty in the United States set by the U.S. government.

The FPL is updated annually, and in 2021 it is set at $12,880 for an individual and $26,500 for a family of four.

The FPL is the basis for a number of government programs that provide assistance to low-income individuals and families, including Medicaid, the Supplemental Nutrition Assistance Program (SNAP), and the Temporary Assistance for Needy Families (TANF) program.

 

What Is The Federal Poverty Level Used To Determine? 

In the United States, the poverty threshold, poverty limit, and poverty line are all different terms for the same measure, which is the annual income level below which a family or individual is considered to be living in poverty.

The poverty threshold is the dollar amount below which a family is considered to be living in poverty. The poverty limit is the maximum amount of income a family can have and still be considered to be living in poverty. The poverty line is the point at which a family crosses the poverty threshold, starting to earn more income.

The poverty level is used to determine eligibility for certain government programs. These programs include Medicaid, the Children’s Health Insurance Program, the Supplemental Nutrition Assistance Program (SNAP), the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC), the National School Lunch Program, and the Temporary Assistance for Needy Families (TANF) program.

The poverty level is also used to calculate how much of a family’s income is considered to be a “household income” for the purposes of eligibility for certain government programs. The Department of Housing and Urban Development (HUD) uses the poverty level to determine the maximum amount of rent that a family can pay and still be eligible for HUD‘s rental assistance programs.

Where To Find The Federal Poverty Level In Your City?

The poverty level is different in each state. To find the local poverty level, you can visit the Office of the Assistant Secretary for Planning and Evaluation. On the website, you can find a table that shows the household size and poverty guideline or yearly income. 

Conclusion

The federal poverty guideline is a metric that is used to determine whether a household is in poverty or not. This is used to determine if a family qualifies for government assistance like housing, Medicaid, food stamps, and CHIP health insurance. 

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