As a part of developing a Supplemental Poverty Measure (SPM), several questions were added to the Current Population Survey’s (CPS) Annual Social and Economic (ASEC) supplement. Some of these new questions allowed for some changes to the CPS ASEC tax model; improving how children are assigned to head of household tax units by using pointers to each parent and using new variables to assign childcare costs, presence of mortgage, and medical out of pocket expenses (MOOP). These new questions could now be used to replace the less timely imputed data. All of these changes are explored individually and then collectively in a new tax model for potential use in the Supplemental Poverty Measure. The tables in each of the following sections are based on weighted counts. The tables show how the use of the new CPS ASEC information will affect national estimates of the tax variables. Subsetting the data may have a differential effect on tax estimates for some demographic groups.
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