[Excerpt] This report presents data on the relationship between labor force activity and poverty in 2003 for workers and their families. The specific income thresholds used to determine people’s poverty status differ, depending on whether the individuals are living with family members or are living alone or with unrelated people. For those living with family members, the poverty threshold is determined by their family’s total income; for individuals not living in families, their personal income is used as the determinant. Therefore, for people living in family situations, earnings from their employment are only one factor in their poverty situation. Other important factors include other sources of income an individual may have, other income of family members, and the size of the family.
The data were collected in the 2004 Annual Social and Economic Supplement to the Current Population Survey. For a more detailed description of the source of the data and an explanation of the concepts and definitions used in this report, see the Technical Note.