UCLA study finds that federal elderly poverty standards underestimate living costs for seniors

The federal poverty guideline, used to determine income eligibility formany public programs, covers less than half of the basic costsexperienced by adults age 65 and older in the state. This report showshow the new Elder Economic Security Standard index (Elder Index) forCalifornia provides an empirically-based measure that more accuratelyreflects county-level costs faced by older adults in the state.

In2007, the federal poverty guideline for a single, elderly person was anannual income of $10,210, and for an older couple, $13,690. Butaccording to the report’s calculations, broken down by each Californiacounty, a basic annual cost of living for a retired older adult, ingood health and living in rental housing, averages $21,011, reaching ahigh of $27,550 in San Mateo County. The supplemental materials includethe Elder Index for each California county together with information onthe health care, housing, food, transportation, and miscellanous coststhat comprise the Elder Index.

The Elder Index is part of astatewide initiative to raise awareness, and to promote policy andprograms, that assures income adequacy for all of the state’s olderadults. The statewide initiative is led by the Insight Center forCommunity Economic Economic Development, which is part of a nationalproject headed by Wider Opportunities for Women.

Get the full report:  http://www.healthpolicy.ucla.edu/pubs/publication.asp?pubID=247