Is the Real ’Poverty Line’ $140,000 a Year?
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BTCCSquare news:
A provocative analysis challenges the federal poverty threshold, arguing that a family of four requires $140,000 annually to meet basic needs—far exceeding the official $32,150 benchmark. Michael Green, Simplify Asset Management's chief strategist, highlights how the 1963 formula fails to account for modern budget realities like soaring housing, healthcare, and childcare costs.
The outdated metric—pegged at three times a food budget—reflects 1950s spending patterns where groceries consumed one-third of income. Today's financial strain among six-figure earners underscores systemic economic pressures, fueling discontent even in upper-income brackets.
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