Want to know more (and do more!) about poverty in Maine? Sign up for MEJ updates, with information about state, federal, and legal work–and moments to act that make a difference.
What’s happening lately with America’s poverty measures?
Each year, the U.S. Census releases new data on poverty, income, and health insurance. Those numbers came out last week, telling us what happened the previous year (so we’re looking at 2024 this year). Compared with recent years when economic security measures (like a more generous Child Tax Credit) were available, poverty is rising. For example, the Coalition on Human Needs, a national anti-poverty group said,
The year before the Child Tax Credit was expanded, 7.2 million children were poor, taking tax credits and other government programs into account. In 2021, the one year when the CTC expansion was in place, the number of poor children plunged to 3.8 million. But after Congress let the expanded tax credit expire, and allowed a reduction in SNAP benefits as well, child poverty shot back up, year after year, with 9.7 million children poor in 2024.
Unfortunately, at MEJ we’re bracing for the impact of the federal budget passed by Congressional Republicans in July, which deeply cut food and health care programs in order to pay for tax cuts for the very wealthy. That budget will create confusion and hardship in Maine and other states because the program cuts start in 2025 but continue to roll out through 2027, many conveniently after the midterm elections. The loss of support comes at a time when prices for food and housing are stretching families’ wallets, many to the point of homelessness and hunger.
Some groups of Americans are faring worse than others–deepening divides in our country that limit our ability to succeed together. According to the New York Times,
Black people…were the only racial group to see a decline in median earnings, a significant increase in poverty rates, and a decline in health insurance coverage, which remained flat on average…The ratio between female and male earnings [also] dropped for the second year in a row, to 80.9 percent, as men’s incomes increased faster than women’s.
Something about our laws and our economy are really out of whack if these gaps are growing–your pay and your ability to succeed should not be tied to your gender, your race, or anything else about your identity. As Mainers and Americans, our chances to build a brighter future depend on a level playing field, where economic security, safety and opportunity are for everyone no matter who they are or where they come from.
As a country, we've been way too willing to accept inequality, for way too long. Poverty is a choice our elected leaders make when they say: we can afford to cut taxes for the wealthy and corporations, but not to fund affordable health care, excellent education, safe homes or nutritious food for people who need it. When basic programs and fair tax policies that form the building blocks of economic security are removed, poverty rises. Our friends and neighbors in Maine–who we know to be talented, hard working people–cannot find opportunities to get beyond survival and thrive.
What about Maine’s poverty measures?
In Maine, we’ve improved access to health care a lot since the Affordable Care Act passed and Maine expanded Medicaid. The new Census data show Maine’s uninsured rate was 5.5% in 2024, an historic low. Unfortunately, some of that progress will soon be reversed. The historic cuts to health care passed by Congressional Republicans in July could force between 31,000 and 49,000 people in Maine to lose MaineCare, and 3,000 to lose ACA marketplace (CoverME.gov) insurance, driving up the cost of insurance for everyone–and putting some hospitals at risk of closure.
Housing costs are unaffordable and still going up, around the country and in our state. According to the American Community Survey (part of the Census), the median cost of rent and utilities has gone up 2.7%, from $1,448 in 2023 to $1,487 in 2024 nationwide (numbers are adjusted for inflation). In Maine, half of us are paying more than 30% of our household income toward rent and utilities, leaving much less for food, medicine, and basics for our kids.
Maine’s 2024 Official Poverty Measure says that 10.6% of people are living below poverty line, equal to a family of three living on less than $25,820 dollars per year (or about $497 per week). In 2024, 12.7% children in Maine were living below the official poverty line. Another measure the Census tracks is the share of Mainers living below 50% of the poverty level, or “deep poverty.” In 2024, 5% of Mainers and 7.3% of Maine children were living in deep poverty, or $12,910 annually for a family of three.
Even with these new numbers, we can’t see the whole picture of how Mainers are faring. For example, more parents are contacting MEJ because they’re unable to afford food, and are skipping meals to make sure their kids can eat. And too often the systems for collecting data, such as the Census, do not capture the experiences of immigrants and other groups with smaller populations. Knowing how policies are helping or harming all Mainers no matter their background or identity, is the only way we can reach economic security and opportunity for all.
No amount of poverty is OK–Maine can lead the way
When one in ten Mainers lives with an income below the poverty line–and many more are living above the poverty level but struggling to make ends meet–it affects everyone. The effects show up in our schools, our workforce and businesses, governments and health care systems. But there are many ideas our state leaders could embrace to help individual Mainers, families, and communities get beyond survival and thrive–even if Congress doesn’t immediately undo its destructive cuts.
Although states like Maine can’t afford to make up for huge cuts to federally-funded SNAP (food assistance) and health care (Medicaid), we can try to reduce some of the harm. We should begin by helping Mainers with the lowest incomes who face emergencies like losing their home. For example, funding General Assistance (GA), our state’s safety net of last resort, helps people in every city or town in Maine and who have no other place to turn. GA quietly prevents many Mainers from losing their homes and from going without needed medicines or food. Also, funding Maine’s successful new rent relief program, the Eviction Prevention Program, would prevent many families from being evicted, often over a matter of a few hundred dollars.
We also need to prioritize programs that help immigrants weather the hurricane of attacks they’re currently facing. It’s the right thing to do for a small group of people who have made Maine their home and are already valued workers, students, business owners, and community members.
Maine could do more to protect food, health care, and housing for people who need it most if we ask the very wealthy and corporations to pay their fair share. Earlier this year the legislature held close votes on LD 229 (to increase income taxes on higher earners while giving 70% of Mainers a tax cut), LD 1089 (to raise taxes on those with incomes over $1 million a year), and LD 1879 (to increase taxes for the most profitable corporations in Maine). Mainers for Tax Fairness coalition (of which MEJ is a member!) has more information about "revenue raisers."
These are just a few of the possible policy choices Augusta can make this year–the time for changes that could increase equality, economic security and opportunity for all has arrived.
