Poverty rate for seniors hits five-year high despite economic gains
Census data shows the poverty rate for Americans over 65 has increased by 20%, with many on fixed incomes struggling to cover rising costs.
By Allison Rojas ·
The poverty rate for Americans older than 65 has increased for the fifth consecutive year, according to new Census data released this week.
While overall national poverty rates declined during the same period, the financial strain on older households intensified. Claire Casey, president of the AARP Foundation, stated that the poverty rate for people over 65 has risen by 20 percent. She noted that affordability has become a primary concern for this demographic.
A recent Economic Security Monitor report by AARP found that 70 percent of older households experienced higher expenses over a three-month period. This spike in costs has left many individuals on fixed incomes with limited financial flexibility.
Anthony Hamalainen, a 67-year-old resident of Marquette, Michigan, described the impact on his household. He said seniors living on fixed incomes are facing severe difficulties. Hamalainen noted that while others are struggling, the situation for older adults is particularly difficult because their income does not adjust for inflation.
Hamalainen previously owned a wireless installation company. A fall from a roof in 2006 left him with a disability that prevented him from working for several years. When he attempted to return to the workforce in his 50s, he faced challenges securing employment due to his age and disability.
He now receives Social Security benefits following the accident. Medical bills and other living expenses have accumulated over time. He currently manages on just over $1,000 per month in income, supplemented by $40 in SNAP benefits. Hamalainen said his funds are exhausted each month and that the cost of living increases annually.
Casey advised older adults to focus on their capabilities rather than their age when seeking assistance. She recommended that individuals identify their needs and look for available resources. AARP provides free resources for older adults struggling with bill payments and suggests checking local, state, and federal programs for additional support. Hamalainen is currently training with AARP to help other seniors find employment.
