Study Shows Climbing Out of Poverty in Howard County Costs Up To $72,000 a Year

A single parent family with two children must earn $72,000 a year in Howard County to escape the label of “the working poor,” according to a report released Wednesday.

The study, commissioned by the Association of Community Services of Howard County (ACS) and conducted by the by the Policy Analysis Center, also shows that a family with two adults and one infant needs $63,537 to be no longer considered among the working poor in Howard County—more than $45,000 above the federal poverty level.

ACS Director Duane St. Clair said this is the first time such a study has been done in Howard County that has measured local self-sufficiency data against income, while comparing that data with federal poverty levels.

The study, entitled "Making Ends Meet in Howard County," was conducted over 1 1/2 years by researchers at The Johns Hopkins Institute for Policy Studies. 

The study uses the Center for Women's Welfare's "Self-sufficiency Standard for Maryland" cost of living calculations to determine a new minimum income needed to maintain a decent standard of living in Howard County.

"A lot of times people look at Howard County as being somewhat immune to things like the recession," St. Clair said. "We are looking at what kind of resources can be developed so working poor people in Howard County can live independently."

The report recommended providing for more affordable and accessible child care, as well as offering more education and training opportunities for residents.

According to the report, a single individual in Howard County must earn more than $31,517 to be considered self sufficient and no longer among the working poor. 

Advocates for the poor said it takes more to be self-sufficient in Howard County because of the higher cost of living compared with other parts of the state and the country.

Howard County is in the top 10 highest average household income areas in the country, according to census data.

“When you have a population with a high per capita income, that’s going to affect cost of products,” St. Clair said.

In 2009 in Howard County, 29,284 individuals were classified in the report as the working poor, which meant they earned between $10,830 and $31,517 annually.

Sinclair called that number "significant."

"This is not an isolated group of people in the community," he said. "I think it's significant enough in that people in the community should be involved and engaged in finding solutions." 

Other findings included:

• Twenty-six percent of the working poor in Howard County have a bachelor’s degree; 10 percent have a graduate or professional degree.
• Thirty-three percent of the working poor in Howard County are employed by the service industry.
• Women make a larger share of the working poor (58.8 percent) than of the entire Howard County population (50.7 percent.)
• Eleven percent of the working poor in the county are not U.S. citizens.