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The Best (and Worst) States for Low-Income Families to Live In!

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Living with low income has always been a challenge, but it's not the same challenge for every state! Due to some factors, it might be less difficult or more difficult in some areas. RewardExpert, a free service that allows for more advantage on credit cards and travel rewards, ranked "The Best and Worst States for Low-Income Individuals and Families."
There are several factors that could affect how hospitable a state is to those with limited income. In every state, there are different housing prices, insurance and Medicaid eligibility, overall cost of living expenses, minimum wage, unemployment rate, and state-level policies on tax, credits, etc. Other states also offer social programs and assistance to help alleviate the challenge.

The list ranked all the states across the country, but here are the top three best states for low-income individuals and families:

#1 - Vermont: The state minimum wage of $10.50 is higher than the federal minimum and is indexed to inflation. Additionally, though the monthly rents are slightly above national average, it is still about one-third of the statewide median income, which makes housing rather affordable.

#2 - Rhode Island: The state has a lower minimum wage of $10.10 but is very much comparable to Vermont. Both states offer an Earned Income Tax Credit that boosts low-income taxpayers' incomes, as well as setting the Medicaid eligibility income level at 138 percent of the federal poverty line.

#3 - New York: Though New York is known for a high cost of living and high housing prices, it is actually a favorable state for low-income residents. Aside from a very progressive tax code, the state's minimum wage of $10.40 is well above national average and family medical leave is legally mandated.

And here are the top three worst states for low-income individuals and families:

#1 - Georgia: Low-income residents in Georgia struggle with a minimum wage of $7.25, which is just the same as the federal minimum, and a regressive state income tax code. Moreover, the income cutoff for Medicaid is low, most non-disabled individuals without children do not even qualify.

#2 - Virginia: Also with a $7.25 minimum wage no higher than the federal minimum and a relatively high cost of living and monthly housing costs, it makes it hard for low-income residents in Virginia to make ends meet. Also, there are very little programs and assistance offered in the state.

#3 - Mississippi: Residents in this state have the lowest median household incomes and they face more challenges such as mostly not being allowed to pay housing rent in cash and a very low Medicaid eligibility threshold resulting to many uninsured residents.

For the full list, visit www.rewardexpert.com/blog/studies/the-best-and-worst-states-for-low-income-individuals-and-families/

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