Alabama’s poverty rate declining, but state still 6th poorest

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BIRMINGHAM, Ala. – According to a recently published report, while Alabama’s poverty rate continues to fall, the state is still the sixth poorest in the nation and “more than 800,000 citizens, including 262,000 children, live below the federal poverty threshold.” The report was released by Alabama Possible, a nonprofit organization whose stated mission is “to break down barriers to prosperity in Alabama through education, collaboration, and advocacy.”

According to the organization’s 2019 Poverty Data Sheet:

Alabama’s poverty rate of 16.9% is more than three points higher than the national average of 13.4%. The number of Alabamians who live in poverty has decreased slightly over the past five years. However, sustained investments in education, the creation of good jobs, and asset building are necessary for Alabama families to achieve long-term financial security.

“Living in poverty is like running in place. Too many Alabamians are working hard just to make ends meet. Stagnant social mobility, increasing inequality, and the rise of low-wage jobs without benefits impact both low-income and middle-class Alabamians,” said Kristina Scott, executive director of Alabama Possible. “Public policy has a vital role to play to give low-income Alabamians a chance to move into the middle class and to ensure greater security for those already there.”

Alabama Possible’s 2019 Poverty Data Sheet highlights statewide poverty data related to educational attainment, employment and food security. The report compiles information from a variety of sources including the U.S. Census Bureau, Alabama Department of Human Resources and education agencies.

Key findings include:

  • Alabama is the sixth poorest state in the U.S., and 16.9% of Alabamians live below the federal poverty threshold – a noticeably larger percentage than the national average of 13.4%. The federal poverty threshold ranges from $12,488 for one person to $25,094 for a family of four.
  • At a county level, 11 of Alabama’s 67 counties have a poverty rate higher than 25%. Seven counties have a poverty rate higher than 30%. Shelby County is the only Alabama county with a poverty rate of less than 10%.
  • The gap between Alabama’s household incomes and the nation’s continues to grow. Alabama’s median household income is $48,193, or $12,143 less than the national median of $60,336.
  • Female-headed households experience significantly higher rates of poverty in Alabama. More than 47% of female-headed households in Alabama report income below the poverty threshold, as opposed to 38.7% of female-headed households nationally.

What about Cullman County?

Alabama Possible supplies information for each county in its online Alabama Poverty Dashboard. According to the information available at the time of the organization’s report, the dashboard offers the following findings about Cullman County:

Total population – 83,442

  • Children – 18,222
  • Seniors – 14,126

People in poverty – 11,256

  • Children in poverty – 3,407
  • Seniors in poverty – 1,504

Poverty rate – 13.8%, over three points below Alabama’s average, but four-tenths of a percent above the national average.

Percentage of persons living in poverty, by category:

  • 15.3% of white residents
  • 34.6% of black/African American residents, well above national and state averages
  • 32.8% of Hispanic/Latino residents, above both national and state averages
  • 18.7% of children
  • 10.6% of seniors over 65
  • 2.9% of full-time employees
  • 40.3% of female headed households with related children
  • 25.4% of persons 25 and older who do not have a high school diploma
  • 15.4% of persons 25 and older who have a high school diploma or GED
  • 11.8% of persons 25 and older with an associate degree
  • 6.5% of persons 25 and older with a bachelor’s degree

Food insecurity

  • 10% of Cullman County residents receive SNAP benefits
  • 11.8% suffer food insecurity, defined as “Multiple indications of disrupted eating patterns and reduced food intake or reduced quality, variety, or desirability of diet.”
  • 20.1% of children suffer food insecurity

Is there an upside?

Poverty rates in the U.S. and Alabama have been on a slow downward trend for years, falling around three percentage points in the last six years. The poverty rate in Cullman County was 19.4% just two years ago and has dropped by almost six points. Since 2017, food insecurity for adults and children has dropped. The job market is strong, and Cullman enjoys one of the lowest unemployment rates in the state.

The report does show that Alabama is moving in the right direction, but the state remains the sixth poorest state, a position it has held since 2015.

For more information about Alabama Possible or to view more statistics about poverty in Alabama, visit http://alabamapossible.org

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W.C. Mann

craig@cullmantribune.com