President Obama’s approach to poverty focused on strengthening the social safety net and expanding tax credits during and after the Great Recession. His administration’s policies, including the 2009 Recovery Act, are credited with preventing a historic rise in poverty, keeping nearly 9 million Americans above the poverty line in 2010
By 2016, reports noted that while income inequality remained high, the administration had helped stabilize families, with 3.5 million people lifted out of poverty in the later years of his term
While poverty grew during the recession, rising from 13.2% in 2008 to a peak of 15.1% in 2010, it later dropped to 14.5% by 2013, with significant decreases in child poverty by 2015.
President Biden signed an executive order that raised the minimum wage to $15/hour for employees working on or in connection with federal contracts starting January 30, 2022. This rate was indexed to inflation, reaching $17.20 in 2024 and $17.75 by January 1, 2025.
In March 2025, President Trump revoked the Biden Executive Order replacing it with the earlier, lower wage mandate
President Biden’s actions to address poverty focused on pandemic relief, most notably the $1.9 trillion American Rescue Plan (2021), which temporarily cut child poverty in half by roughly 40%–50%. Key actions included $1,400 direct checks, an expanded Child Tax Credit, and increased food/housing aid
Enhanced unemployment benefits and increased Supplemental Nutrition Assistance Program (SNAP) benefits were extended to support families.
Black child poverty was halved in 2021 due to these measures, and the official Black poverty rate reached a record low of 17.1% in 2022.
“Minium wage is a poverty wage,” said Senator Kamala Harris.
Donald Trump's administration is projected to increase poverty through regressive tariffs, significant cuts to social safety nets like Medicaid and SNAP, and tax policies favoring corporations. Proposed tariffs alone could push roughly 650,000 to 875,000 Americans into poverty.
The One Big Beautiful Bill Act (OBBBA) implemented deep cuts to Medicaid and the Supplemental Nutrition Assistance Program (SNAP), which are expected to reduce access to food and healthcare for millions.
The combination of tax cuts for the wealthy and reduced benefits for low-income earners is projected to increase income inequality and make typical families poorer, say analysts at the Economic Policy Institute.
these policy changes are expected to increase the poverty rate in subsequent years.
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