The Elder Economic Security Initiative for Pennsylvania

A Snapshot of PA’s Aging Population: Planning for Today and Tomorrow

With over 15% of the population 65 or over, Pennsylvania has the third largest aging population in the U.S.

Social Security is the only source of income for 1 of out 4 retired Pennsylvanians.

Eight percent of Pennsylvania elders live below the Federal Poverty Level.

Over twelve percent of Pennsylvania elders live between 100-150% of the Federal Poverty Level.

What Is theElder Economic Security Initiative?

The Elder Economic Security Index:

The new measure of income adequacy allows advocates to push for policy changes to improve living standards and

economic security

Quantifies the actual costs of basic expenses for older adults

Looks at costs in every county in Pennsylvania

Considers market costs of independent living

Looks at elders beginning at age 65

Assumes elders are retired

Pennsylvania Elders With Typical Incomes in Retirement Fall Short Of Economic Security

$7,993

$11,679$12,525

$20,619

$15,615

Index for Renter, $17,277

Index for a Owner w/ Mortgage, $23,186

Index for Owner w/o Mortgage, $16,430

FPL, $10,400

SSI Standard Average SocialSecurity, Women

Average SocialSecurity, Men

Median Income inRetirement,

Women

Median Income inRetirement, Men

The Realistic Cost of Living Sample rural, urban, suburban counties

$16,353$20,588

$18,339

$24,657$27,438

$30,434

Fayette County(rural)

Philadelphia County(urban)

Dauphin County(suburban)

Single Elder Elder Couple

A Sample Case: The Elder Index in a Suburban PA County (Dauphin)

Monthly Expenses

Elder Person Elder Couple

Owner w/o Mortgage

Fair Market Rent 1BR

Owner w/o Mortgage

Fair Market Rent 1BR

Housing $420 $575 $420 $575

Food $215 $215 $395 $395

Transportation $141 $141 $226 $226

Health Care = Good $368 $368 $735 $735

Miscellaneous @ 20% $229 $229 $355 $355

Elder Index Per Month

$1,374 $1,528 $2,132 $2,287

Elder Index Per Year

$16,482 $18,339 $25,582 $27,438

How Does Income Measure Up in a Suburban PA County?

Expenses for elders in this suburban PA county are far above the average Social Security payment in 2007.

Comparative Income Elder Person w/o Mortgage

Elder Person, Renter

Federal Poverty Line 2007 $10,210 $10,210

SSI Payment-Maximum PA 2007

$7,476 $7,476

Average Social Security Payment in County 2007

$12,608 $12,608

Elder Economic Security Index

$16,482 $18,339

Index as % of Federal Poverty Guidelines

161% 180%

Average Social Security Payment as % of Index

76% 69%

The Costs Increase: The Impact of Long-Term Care (LTC) at

Home in a Suburban PA County

Need for Care

Low MediumHigh with Adult Day

Health

High w/o Adult Day

Health

Hours/ Week

6 hrs 16 hrs 36 hrs 36 hrs

Cost/ Year $6,514 $16,930 $25,636 $35,261

Index + LTC, Elder

Renter$24,853 $35,269 $43,975 $53,600

The Impact of Supports for a Single Elder Renter Living on Average Annual Social Security ($11,425) in

Dauphin County

Elder Standard Index (Expenses)

+ Food Stamps

+ Rx Assist.

+ Medical Assist.

+ Energy Assist.

+ Housing Assist.

Housing $575 $575 $575 $575 $562 $270

Food $215 $170 $170 $170 $170 $215

Transportation $141 $141 $141 $141 $141 $141

Health Care $368 $368 $304 $211 $211 $211

Miscellaneous@ 20%

$229 $229 $229 $229 $229 $229

Total Expenses (/mn)

$1,528 $1,483 $1,420 $1,326 $1,313 $1,066

Income (/mn) $952 $952 $952 $952 $952 $952

Economic Security 62% 64% 67% 72% 73% 89%

Who Can Use the Elder Index?

Advocates

Service Providers

Policymakers

Funders

Elders and their families

How Can They Use the Index?Benchmarking tool for policy planning

Guide for budget appropriations

Resource for setting eligibility levels

Care management tool

Educational tool

Resource for personal future planning

Policy Recommendations

Defend retirement income

Support housing programs

Remove application barriers

Policy Recommendations

Broaden and deepen outreach on income supports

Increase transportation access

Promote rational policymaking by using the Index

For more information, please contact:

PathWays PA – www.pathwayspa.org or email us at policy@pathways.pa.org

CARIE – www.carie.orgUnited Way of Southeastern PA – www.uwsepa.org

Wider Opportunities for Women – www.wowonline.org

Questions or Comments?