Salaries Increase, But More Texans Still Living in Poverty than before the Recession

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[Center for Public Policy Priorities, September 16, 2016]

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Thu, 09/15/2016 - 20:00

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The typical Texas household income increased by $2,555 last year according to new data from the <a href="http://www.census.gov/" style="color: rgb(102, 102, 102); text-decoration: underline; -webkit-transition: background 0.25s, color 0.25s; transition: background 0.25s, color 0.25s;">Census Bureau</a>. The data also show that fewer Texans are living in poverty, although overall incomes and poverty levels need improvement to ensure long-term economic growth for all Texans.
These changes are welcome news and mirror similar improvements for low-income and working families across the country. However, the Texas poverty rate of 15.9 percent is still much higher than the national average at 13.5 percent in 2015, and large economic gaps persist by race and ethnicity. The poverty rate for Hispanic (22.8 percent) and Black (21.4 percent) Texans far outpaces that of White (8.6 percent) or Asian (10.6 percent) Texans.
“Rising incomes for Texas families are great news after years of stagnant wage growth,” said CPPP Associate Director Frances Deviney, Ph.D. “However, we shouldn’t let that overshadow the fact that there is a greater share of Texans compared to the rest of the country facing consistent educational, transportation, child care and job barriers, leaving them struggling to provide for themselves and for their families. We must do a better job supporting public, private, local and state efforts to break down these barriers so that low-income families and individuals can access the Texas middle class.”
The economic challenges facing Texas children are particularly concerning. There are more than 7 million children living in Texas today, representing nearly 1 in 10 children living in the United States. However, nearly one in four Texas children (23 percent) are living in poverty. Poverty rates for Hispanic (33 percent) and Black children (32 percent) are nearly three times higher than they are for White (11 percent) and Asian children (12 percent). Not only are Black and Hispanic children more likely to live in poverty, but they are also more likely to grow up in high-poverty areas than White children, which significantly impacts the resources available to them and their families.
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