FOR IMMEDIATE RELEASE
Sept. 15, 2022
Contact:
Alex Rossman
arossman@mlpp.org
517-775-9053
2021 Census: Child poverty, overall poverty down in Michigan, thanks in part to CTC and EITC
Michigan policymakers can build on poverty reduction efforts by increasing state EITC to 30%
NOTE: League CEO Monique Stanton is out on maternity leave.
LANSING—Today’s census figures show the continued slow drop in family (overall) and child poverty in Michigan since the Great Recession. While child poverty was at 24.4% in 2011, 10 years later it was 17.5%. Likewise, family poverty has dropped from 12.5% in 2011 to 9% in 2021. While these are small improvements, Michigan’s poverty rates are still too high. Michigan policymakers must look at ways to not only further reduce poverty, but to improve assistance and opportunity for economic mobility for those who remain in poverty.
The United States Census itself tied a marked reduction in child poverty nationally to the expanded federal Child Tax Credit as well as the federal Earned Income Tax Credit. The Census Bureau releases two measures of poverty every year: the official poverty measure and the Supplemental Poverty Measure (SPM). The piece found that child poverty, calculated by the SPM, fell to its lowest recorded level in 2021, declining 46% from 9.7% in 2020 to 5.2% in 2021, according to U.S. Census Bureau data released today. In contrast, when calculated by the official poverty measure, child poverty declined only 0.7 percentage points, from 16.0% to 15.3%.
These policy impacts track directly with the League’s 2022 Kids Count Data Profiles released in July, which noted the need to make COVID-era improvements permanent to continue to reduce child poverty. And Michigan’s state and federal policymakers both have ripe policy opportunities to build on this work and continue to reduce poverty for Michigan kids and their families.
“As an organization that has been working to reduce poverty for more than a century, we have a good handle on what policies work and what policies don’t, and it tracks directly with the census data released this week,” said Karen Holcomb-Merrill, acting President & CEO for the Michigan League for Public Policy. “The continued decline in poverty and child poverty in the state is good news, but to make those improvements permanent, we need our elected officials to take permanent action to increase the state Earned Income Tax Credit and expand the federal Child Tax Credit.”
The League and more than 100 other business, advocacy, faith, and nonprofit organizations continue to advocate for increasing the state EITC. The proposal has bipartisan support between the governor and Michigan Legislature, who collectively set aside $7 billion from the state budget to negotiate potential tax changes, including increasing the state EITC, and other investments.
Increasing Michigan’s EITC from its current rate of 6% of the federal credit to 30% of the federal credit would give around $600 more to working people. This same change would return around $553 million to local economies and small businesses, as the EITC is often spent on necessities like child care, car repairs, new appliances, groceries and more. Increasing the state EITC is a two-generation policy that helps kids by helping their parents, and it has been proven to have myriad positive benefits on kids.
Federal Child Tax Credit (CTC) payment amounts were temporarily increased and extended to children in families with low or no earnings, and advance monthly payments were provided to increase income stability. These changes lifted 114,000 Michigan children out of poverty and benefited another 1,968,000 kids in the state. Federal and Michigan Earned Income Tax Credits (EITC) were expanded to 571,000 working adults without children, including young adults ages 18-24 with low incomes.
Cash assistance is another policy tool that could bring families out of poverty, but Michigan does not make good use of it. Cash assistance through the Family Independence Program (FIP) is available only to families who are at or below 42% of the poverty level, and at most, it takes those families to only 62% of the poverty level. Michigan gets roughly $775 million per year in federal Temporary Assistance for Needy Families (TANF) funding, but uses very little of that for direct assistance and virtually none of it to fight poverty.
There has been some progress in this area, but not enough. The governor and Legislature took a positive step by establishing a one-time $600 young child supplement for families already receiving cash assistance in 2022 (the first increase in cash assistance in years). But this is not an ongoing benefit and would need to be renewed in future budgets.
Additionally, the annual clothing allowance included in the 2023 budget provides some additional money to families already receiving FIP cash assistance. While these benefits are both positive, they are not available to the many families below the poverty line who are not eligible for cash assistance and do nothing to expand eligibility beyond the 12,000 families in Michigan who receive cash assistance.
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The Michigan League for Public Policy, www.mlpp.org, is a nonprofit policy institute focused on opportunity for all. Its mission is to advance economic security, racial equity, health and well-being for all people in Michigan through policy change. It is the only state-level organization that addresses poverty in a comprehensive way.
Jay Cutler joined the League in March 2026 as the Kids Count Senior Data Analyst, where he collects, analyzes, and prepares data for Kids Count in Michigan.
Danielle Taylor-Basemore joined the League as the Development Data and Stewardship Coordinator in June 2025. She brings with her five years of nonprofit experience with a special focus on community engagement, data visualization and strategic programming. Prior to joining the League, Danielle served as the Business District, Safety, and Digital Manager at Jefferson East, Inc.
Scott Preston is a Senior Policy Analyst with the Michigan League for Public Policy, where he leads the organization’s immigration and criminal justice reform portfolios. In the three years prior to joining the League, Scott facilitated the Southeast Michigan Refugee Collaborative and managed a small business economic development program at Global Detroit. His work included launching Michigan’s first Refugee Film Festival and building on a trusted connector model that linked marginalized communities with crucial resources. Scott’s work at the League is informed by his background in journalism and research. He spent four years covering the Syrian refugee crisis in the Middle East for publications such as The Economist, and later worked with unaccompanied refugee minors through Samaritas. Scott holds a master’s degree in international migration and public policy from the London School of Economics and Political Science.
Kate Powers joined the League as the Chief Development Officer in February 2025. Prior to joining the League, Kate held leadership positions at many Michigan nonprofit organizations, most recently serving as the COO and Chief Development Officer of Ele’s Place. Kate has spent the bulk of her career in fundraising, with a short stint in the state Legislature as a legislative aide to members in both chambers. Kate is a graduate of Michigan State University’s James Madison College with a Bachelor of Arts in Social Relations and has a certificate in fundraising management from the Lilly Family School of Philanthropy at Indiana University. Additionally, Kate served on the East Lansing Public Schools Board of Education and is a past President of the Junior League of Lansing. In her free time, she enjoys traveling with her husband and her son and saving outfit of the day and home decor ideas on Pinterest. 
Nicholas Hess joined the League as the Fiscal Policy Analyst in September of 2024. In this role, Nicholas focuses on tax policy, government revenue, and their impact on working families and racial equity, including the effects of the Earned Income Tax Credit (EITC) and Child Tax Credit (CTC). Nicholas values the role that judicious fiscal policy can play in the improvement of people’s lives and the economy, alleviating inequities along the way.
Audrey Matusz joined the League as the Visual Communications Specialist in September 2024. She supports the team with implementing social media strategies and brainstorming creative ways to talk about public policy. She brings with her nearly a decade of experience in producing digital products for evidence-based social justice initiatives. 
Jacob Kaplan 
Donald Stuckey 
Alexandra Stamm 
Amari Fuller
Mikell Frey is a communications professional with a passion for using the art of storytelling to positively impact lives. She strongly believes that positive social change can be inspired by the sharing of data-driven information coupled with the unique perspectives of people from all walks of life across Michigan, especially those who have faced extraordinary barriers. 
Yona Isaacs (she/hers) is an Early Childhood Data Analyst for the Kids Count project. After earning her Bachelor of Science in Biopsychology, Cognition, and Neuroscience at the University of Michigan, she began her career as a research coordinator in pediatric psychiatry using data to understand the impacts of brain activity and genetics on children’s behavior and mental health symptoms. This work prompted an interest in exploring social determinants of health and the role of policy in promoting equitable opportunities for all children, families, and communities. She returned to the University of Michigan to complete her Masters in Social Work focused on Social Policy and Evaluation, during which she interned with the ACLU of Michigan’s policy and legislative team and assisted local nonprofit organizations in creating data and evaluation metrics. She currently serves as a coordinator for the Michigan Center for Youth Justice on a project aiming to increase placement options and enhance cultural competency within the juvenile justice system for LGBTQIA+ youth. Yona is eager to put her data skills to work at the League in support of data-driven policies that advocate for equitable access to healthcare, education, economic security, and opportunity for 0-5 year old children. In her free time, she enjoys tackling DIY house projects and trying new outdoor activities with her dog.
Rachel Richards rejoined the League in December 2020 as the Fiscal Policy Director working on state budget and tax policies. Prior to returning to the League, she served as the Director of Legislative Affairs for the Michigan Department of Treasury, the tax policy analyst and Legislative Director for the Michigan League for Public Policy, and a policy analyst and the Appropriations Coordinator for the Democratic Caucus of the Michigan House of Representatives. She brings with her over a decade of experience in policies focused on economic opportunity, including workforce issues, tax, and state budget.
Simon Marshall-Shah joined the Michigan League for Public Policy as a State Policy Fellow in August 2019. His work focuses on state policy as it relates to the budget, immigration, health care and other League policy priorities. Before joining the League, he worked in Washington, D.C. at the Association for Community Affiliated Plans (ACAP), providing federal policy and advocacy support to nonprofit, Medicaid health plans (Safety Net Health Plans) related to the ACA Marketplaces as well as Quality & Operations.
Renell Weathers, Michigan League for Public Policy (MLPP) Community Engagement Consultant. As community engagement consultant, Renell works with organizations throughout the state in connecting the impact of budget and tax policies to their communities. She is motivated by the belief that all children and adults deserve the opportunity to achieve their dreams regardless of race, ethnicity, religion or economic class.
Emily Jorgensen joined the Michigan League for Public Policy in July 2019. She deeply cares about the well-being of individuals and families and has a great love for Michigan. She is grateful that her position at the League enables her to combine these passions and work to help promote policies that will lead to better opportunities and security for all Michiganders.
Megan Farnsworth joined the League’s staff in December 2022 as Executive Assistant. Megan is driven by work that is personally fulfilling, and feels honored to help support the work of an organization that pushes for more robust programming and opportunities for the residents of our state. She’s excited and motivated to gain overarching knowledge of the policies and agendas that the League supports.
