What is FPL? | Federal Poverty Level Percentages for 2025

If you’ve ever looked into any low income assistance programs, you’ve probably encountered the term FPL or Federal Poverty Level. This is a measurement of income that many programs use to determine whether or not you’re eligible. Because each program uses a different FPL percentage, it can get very confusing very quickly.

Let’s review everything you need to know about the Federal Poverty Level. We will review what it is, how it is calculated, why it’s important, and what the current FPL figures are at a variety of percentages.

Federal Poverty Levels for 2025

The following charts shows the federal guidelines for all 50 states based on household size.

For the Contiguous 48 States & Washington DC

Alaska

Hawaii

About the Federal Poverty Level

Let’s answer some frequently asked questions about this critical poverty measure.

What is FPL?

The Federal Poverty Level (FPL) is the officially declared threshold for poverty in the United States. This figure was developed by the U.S. government to establish consistent income thresholds for federal programs and benefits.

It isn’t just the government that relies on this number. Many nonprofits and charities use the FPL as a standard for eligibility as well. For example, many breast cancer grants can assist you even if you earn 500%, or five times, the FPL.

This number is often called the poverty line or Federal Poverty Guideline (FPG) as well.

How is the FPL used?

It is very important for low income Americans to understand what the Federal Poverty Level is and how it applies to you. This guide is used to determine your eligibility for many different assistance programs, including:

• Supplemental Nutrition Assistance Program
• Medicaid
• LIHEAP
• Weatherization
• WIC

…and that’s just for starters! Most of the programs we report on here at Low Income Relief rely on either the Federal Poverty Level or Area Median Income to determine your eligibility.

When did the FPL begin?

The concept of the Federal Poverty Level (FPL) was introduced in the United States in the early 1960s by Mollie Orshansky, an economist at the Social Security Administration.

Orshansky used the cost of food as the basis for calculating poverty thresholds, as food constituted the largest portion of household expenses at the time. She determined that families typically spent about one-third of their after-tax income on food, so the poverty threshold was set at three times the cost of a subsistence food budget.

Since its adoption, the FPL has been updated annually for inflation but remains based on the same methodology, raising concerns about its relevance in today’s drastically different economic climate.

How is it calculated?

The Federal Poverty Level (FPL) is based on how much a family needs to earn in order to cover basic necessities, such as housing, food and utilities. Every year, the number is adjusted for inflation to reflect the actual cost of living.

The calculation of the FPL is based on the Consumer Price Index for All Urban Consumers (CPI-U), which measures inflation. The Department of Health and Human Services (HHS) updates the poverty guidelines annually to reflect changes in the cost of living. The base calculation remains tied to food costs, though this has been criticized as it does not fully account for other essential expenses like housing, healthcare, and transportation, which now constitute a larger portion of household spending.

Because the cost of living varies so drastically in Alaska and Hawaii, they have separate Federal Poverty Levels than the remaining 48 states.

Is the FPL considered a good measure?

The FPL is a critical tool in social policy, but it is not without its controversies and limitations. It provides simplicity and consistency in it’s measurements, and is useful as a policy tool.

However, critics have said that the model is outdated because it is overly reliant on the cost of food. Modern households spend more on housing, childcare, and healthcare, which are not proportionately reflected in the poverty thresholds.

The FPL also does not take into account any geographical variations between urban and rural areas, or the different expenses experienced by different demographic groups like seniors or parents.

While the Federal Poverty Level has served as a foundational measure for assessing poverty and allocating aid, its effectiveness and accuracy in reflecting modern economic realities are increasingly challenged. The ongoing debate highlights the need for a revised approach that better addresses today’s economic conditions and the varying needs of American households. Engaging in this discourse is crucial for evolving our social safety nets to better serve all citizens.

Relief Recap

The Federal Poverty Level (FPL) has recently been updated to better match today’s cost of living and expand eligibility for aid programs. These changes mean more people can get help with health care, food, and housing. If you want to learn more, check out the Department of Health and Human Services website or connect with local advocacy groups.