Research and Analysis by Joyce Nicholas
Provided here are the absolute and relative poverty status of 2002 elderly Supplemental Security Income (SSI) recipients. Official poverty estimates are generated from the Current Population Survey's Annual Social and Economic Supplement (CPS/ASEC). The poverty study presented here differs from previous studies in that it is based on CPS/ASEC income and weight records conditionally adjusted by matching Social Security administrative data. This effort improves the coverage of SSI receipt and the accuracy of SSI estimates. The adjusted CPS/administrative matched data reveal lower 2002 poverty rates among elderly persons (with and without SSI payments) than those generated from the unadjusted CPS/ASEC data.
This article is an extension of work reported in an earlier article entitled, "Elderly Poverty and Supplemental Security Income" (Social Security Bulletin 69(1): 45–73). Like the original work, the present study looks at the consequences of obtaining estimates of the prevalence of poverty among persons aged 65 or older by using administrative data to adjust incomes reported in the Current Population Survey. The original article looked at incomes in 2002; the present one covers measures of absolute and relative poverty status of the elderly during the 2003–2005 period. Again, we find that inclusion of administrative data presents challenges, but under the methodology we adopt, such adjustments lower estimated official poverty overall and increase estimated poverty rates for elderly SSI recipients by correcting for the misreporting of SSI, OASDI, and earnings receipt by CPS respondents.