filing taxes

As you know I volunteer to file taxes for people down at the Senior Center. In the news we often hear that the number of people living in poverty is rising. I had a young man come in this week. He worked at Wal Mart and had a stay at home wife with three small children. His Wal Mart income at $9.50 per hour was $19,000 for the year. He of course paid no income tax but he did pay $1,450 in payroll tax (social security and Medicare). Since the government level for poverty for a family of five is $27,000 he would be included in the poverty class. However he received back from the federal and state government $11,000 in credits so his actual income was $30,000 which would move him out of the poverty class. This is typical of what happens to most low income families. This man was a full time employee so he qualified for the Wal Mart health plan and in addition he had a company paid retirement plan, life insurance, disability insurance, vacation, holidays and sick leave. I am not saying his has a good situation but is it better than the living in poverty status would indicate.