The U.S. Census Bureau report on Income, Poverty, and Health Insurance reports that the national poverty rate declined in 2006 to 12.3%, down from 12.6% the year before. A total of 36.5 million Americans are below the poverty line which is defined as having an annual income below $10,000 for an individual and below $20,000 for a family of four. Overall poverty is still 1% higher than in 2000.
In Iowa the state poverty rate fell by about 300,000 to 10.3%, down from 11.3% in 2005 and 10.9% in 2004.
The Census reports that the national median household income rose for the second consecutive year to $48,200 due mostly to more Americans within households holding jobs. In spite of the increases, median household levels are still down from a peak in 1999 and individuals are earning less per worker for the third year in a row.
In Iowa the median household income rose to $48,075, up from $47,170 based on two year averages from the Census’s 2007 Current Population Survey.
In spite of the decline in the national poverty rate the number of uninsured Americans rose for the sixth consecutive year to 15.8%, or 47 million, up from 15.3%, or 44.8 million in 2005. The number of full-time workers without insurance increased to 22 million, up from 20.8 million in 2005. Higher health costs have created higher premiums resulting in employers cutting back or eliminating benefits. Families have not been able to purchase their own insurance at a reasonable price. Last year the number of uninsured children increased by more than 600,000 to reach a total of 8.6 million. The main reasons according to advocacy groups is accessibility and funding for low-income programs have not been increased to meet needs while employers coverage for dependents has declined.
In Iowa the Census number of uninsured was at 9.3% or 271,000 people.