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					The Self-Sufficiency Standard
  for New York State 2010

            January 27, 2010 Webinar
     Presented by: Susan Antos, Senior Staff Attorney,
                  Empire Justice Center
What is the Self-Sufficiency
Standard?
 DEFINITION OF SELF-       CALCULATED FOR 37
    SUFFICIENCY                 STATES

The Self-Sufficiency
Standard defines how
much income a family
of a certain composition
in a given place needs
to adequately meet
their basic needs —
without public or
private assistance.
The Federal Poverty Level

  Only varies by family size
   regardless of composition.
  Does not vary by location
   (except Alaska and Hawaii).
  Based on the cost of food rather

   than all needs of the family
The Federal Poverty Level

  Credited to work done by Molly
   Orshansky in 1963.
  Simple formula - since families

   spent 1/3 of their budget on food,
   multiplying the food budget by 3
   would yield an estimate of the
   amount needed to meet all needs.
The Federal Poverty Level

   Updated annually by the consumer
    price index.
   Families now spend 13% of their
    income on food.
   Does not deal with rising health care,
    housing or utility costs, subsidies or tax
    credits.
Other Alternative Poverty
Measures

   National Academy of Sciences
    Recommendation.
   Supplemental Poverty Measure, Obama
    Administration.
   New York City Center for Economic
    Opportunity.
The Standard’s Approach to
Measuring Self-Sufficiency
The Self Sufficiency Standard

   Assumes a family is working and
    includes costs associated with
    employment for every adult household
    member.
   Taxes.
   Transportation.
   Child Care.
The Self Sufficiency Standard

   Incorporates geographic variations.
   Permits modeling of impact of sub-
    sidies, taxes and tax credits.
   Focus on wage adequacy.
   70 different family types, from one
    adult living alone, up to two adult
    families with three teenagers.
Geographic Variation in the Standard for New York
2010
One Adult and One Preschooler
The real costs
 of six basic
    needs
Housing
   Uses Fair Market Rents (FMR).
   Calculated by the U.S. Department of
    Housing and Urban Development.
   Calculated for each state’s metropolitan
    and non-metropolitan area.
   FMRs are at the 40th percentile meaning
    40% of the housing in the area is less
    expensive.
   Data is adjusted for counties using other
    data sources.
Child Care

   Uses “market rate” which is based on a
    biennial survey of child care rates
    conducted by the Office of Children and
    Family Services.
   Market rate varies by setting, age and
    geographic location.
   Assumes regulated family day care for
    infants; preschoolers in a day care
    center.
Food

   USDA low cost food plan.
   Does not allow for take-out, fast food or
    restaurant meals.
   Geographic variations calculated using
    in ACCRA Cost of Living index.
Transportation

 Public transportation
  assumed if “adequate.”
 Private transportation is
  based on the cost of owning a
  car.
Health Care

 Average   premium by
 region.

 Regional   out of pocket
 costs.
Miscellaneous

 10% of other costs.
 Includes clothing, shoes, paper
  products, diapers, telephone.
 Does not include entertainment,
  recreation, savings or debt
  repayment.
Percentage of Standard Needed to Meet Basic
Needs
One Adult, One Preschooler, and One School-age Child
Monroe County, New York, 2010

                       Miscellaneous
                            8%
                 Taxes-Net*             Housing
                     8%                  21%
              Health Care
                 10%
              Transportation
                   7%                  Child Care
                                          34%
                     Food
                     12%
The Self-Sufficiency Standard & Federal Poverty Level
for Select Family Types Monroe County, New York,
2010
  $60,000
            Annual Self-Sufficiency Wage
  $50,000                                                               $54,182
            2009 FPL
                                                     $47,391
  $40,000
                                    $38,773

  $30,000

  $20,000                                                               $22,050
              $20,042
                                                     $18,310
  $10,000                           $14,570
              $10,830

      $0
               Adult             One Adult,        One Adult ,        Two Adults,
                               One Preschooler   One Preschooler,   One Preschooler,
                                                 One School-age     One School-age
Self Sufficiency Wage

 Amount   required to be self-
  sufficient.
 Will vary by family type and
  geography.
Job Counselors

 What   are median earnings in
  a particular field?
 Given standard in particular
  county are job training efforts
  sufficient?
    but one of New York’s ten
 All
 most common occupations
 have median wages that are
 below the minimum level of
 self-sufficiency.
    How can the self-sufficiency standard
          help with job creation?

   Target training for higher wage jobs
    expanded adult education.
   Accountability for training programs.
   Non-traditional employment for
    women.
   Tax reform.
Effect of work supports can be modeled



   Child Care
   Health care assistance

   Food stamps (now known as
    SNAP)
   Child Support
                        The End
   Many thanks to Dr. Diana Pierce and Sara Lowrey, Research
    Coordinator, Center for Women’s Welfare, University of
    Washington School of Social Work, who created the graphic
    slides used in this presentation.
   Susan Antos, Senior Staff Attorney, Empire Justice Center,
    119 Washington Avenue, 2d floor, Albany, NY 12210; (518)-
    462-6831, x105; santos@empirejustice.org
   The 2010 New York State Self-Sufficiency Standard as well
    as the 2000 New York State standard (along with Excel
    spreadsheets detailing all 70 family types for both reports)
    and the New York City Standards for 2010 and 2004, can be
    found at: http://www.fiscalpolicy.org/selfsufficiency.htm

				
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