Question

The following table shows the U.S. poverty thresholds for 2018 by size of family and number of related children under the age of 18. All figures are in dollars. For example, a family with two adults and three children is considered to be living in poverty if the family's income in 2018 is below $29,967. Related Children under 18 Years Size of Family Unit None One Two Three Five Four One person (unrelated individual) Under 65 years 13,064 65 years and over 12,043 Two persons Households under 65 years 16,815 17,308 Households 65 years and over 15,178 17,242 Three persons 19,642 20,231 20,212 Four persons 25,900 26,324 25,465 25,554 Five persons 31,234 31,689 30,718 29,967 29,509 Six persons 35,925 36,068 35,324 34,612 33,553 32,925 Seven persons 41,594 40,705 40,085 38,929 41,336 37,581 Eight persons 46,640 45,800 46,231 45,064 44,021 42,696 Nine persons or more 54,516 55,613 55,883 55,140 53,491 52,082

Answer 1

Scenario 1

The family has four members. So, this is a four person household under 65 years with two children under 18 years.

The poverty threshold income of four person household under 65 years with two children under 18 years is $25,465.

The total income of family is $29,000.

The total family income is greater than the poverty threshold income.

So, Alex and Becky are not living in poverty.

The correct answer is NO.

Scenario 2

Alex and Becky has now divorced. Becky has to support two children without any support from Alex.

The family now has three members. So, this is a three person household under 65 years with two children under 18 years.

The poverty threshold income of three person household under 65 years with two children under 18 years is $20,231.

The total income of family is $16,000.

The total family income is less than the poverty threshold income.

So,

Becky and her children are living in poverty.

The correct answer is YES.

Scenario 3

Alex and Becky has now divorced. Becky has to support two children without any support from Alex.

The family now has three members. So, this is a three person household under 65 years with two children under 18 years.

The poverty threshold income of three person household under 65 years with two children under 18 years is $20,231.

The Becky earns an annual income of $16,000. She also qualifies for child welfare payment of $500 for each child. So, she gets $1,000 as child support payment.

Thus, the total family income is $17,000.

The total family income is less than the poverty threshold income.

So,

Becky's family is living in poverty.

The correct answer is YES.