Seniors are the only age group with growing poverty. It could get worse

Poverty is on the rise, but only among seniors, according to the U.S. Census Bureau’s annual poverty report.

Based on the official measure, which is a simple calculation based on pretax cash income compared with a national threshold, the percentage of seniors in poverty rose to 9.9% last year from 9.7% in 2023, data showed. Using the more comprehensive supplemental measure, which includes noncash government benefits, accounts for taxes and essential expenses like medical care and work-related costs, and adjusts thresholds for regional differences in housing costs, senior poverty rose to 15% from 14.2% − and marked the highest poverty level among all age groups.

The increase contrasts with every other age group, which saw declines or stayed steady.

By official measures, 18- to 64-year-olds saw a drop in poverty to 9.6% in 2024 from 10% the prior year, while poverty among those under 18 fell to 14.3% from 15.2%. Using the supplemental measures, poverty stayed steady at 12.2% for 18- to 64-year-olds but slipped to 13.4% last year from 13.7% for children.

“Once again, more older Americans are sinking into poverty, just as 11,000 are turning 65 every day,” said Ramsey Alwin, president and CEO of the National Council on Aging, a nonprofit focused on improving the lives of older adults. “A country as rich as ours should be shocked that over 9.2 million of our fellow older Americans struggle to cover basic expenses like food and medicine.”

Why are more seniors falling into poverty?

Not only have seniors had to grapple with elevated inflation since the pandemic, but they are also dealing with expensive caregiving costs, some experts said.

"The increase in senior poverty reflects a broader caregiving crisis affecting older Americans,” said Jason Resendez, president and chief executive of the nonprofit National Alliance for Caregiving.  “Our latest research shows that nearly half of family caregivers − including 14 million who are seniors themselves − face significant financial strain from providing care, with many depleting savings and taking on debt."

"When older Americans can't access affordable care services, families bear the financial burden, creating a cycle that pushes more seniors into poverty," he said.

Expiration of additional pandemic-era assistance has also hurt over the years. “When that help went away, poverty increased,” Alwin said.

Poverty among seniors has risen every year since 2020 based on supplemental measures, Census Bureau data show.

What can be done to help seniors?

Programs like the Supplemental Nutrition Assistance Program, Medicare Savings Programs, and Medicaid provide much-needed assistance that must continue, Alwin said.

However, “recently enacted cuts to SNAP will increase hunger among older Americans and the recently passed Medicaid cuts will lead to a sicker older population,” she said.

Instead, “Congress needs to reauthorize and fully fund the Medicare Improvements for Patients and Providers Act (MIPPA), which helps Medicare’s low-income beneficiaries afford health care and prescription drugs,” Alwin said. “The program has been extended 14 times with bipartisan support because it provides a tangible return on investment.”

Better education, outreach and enrollment in these programs are also necessary, she added. NCOA’s Benefits Participation Map shows 70% of older Americans, or 9 million, are eligible for these programs but not enrolled.

Additionally, Social Security needs to be bolstered, experts say. The program “continues to be the largest antipoverty program,” the Census Bureau said in its report. Social Security moved 28.7 million individuals out of poverty in 2024 by supplemental measures last year, it said.

“In America, the ability to age well – with health and financial security − should be a right for every person, not a privilege,” Alwin said.

Medora Lee is a money, markets and personal finance reporter at USA TODAY. You can reach her at [email protected] and  subscribe to our free Daily Money newsletter for personal finance tips and business news every Monday through Friday morning.