HOUSTON – A new study shows Texas ranks as one of the Top 5 States where residents are financially hurting the most.
According to SmartAsset.com, the coronavirus pandemic has caused a major financial impact on millions of Americans, making it hard for many to meet their financial needs and goals. As unemployment declined by more than half from its high of 14.8% in April 2020, the rate of 6.2% in February 2021, it is still almost twice as high as the pre-pandemic rate at the beginning of 2020, according to the study.
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SmartAsset took a closer look at the states where residents are financially hurting the most.
The company examined data from all 50 states across the following six metrics:
- January 2021 unemployment rate, change in unemployment during COVID-19
- Unemployment replacement rate
- Recent housing insecurity, recent food scarcity
- Poverty rate.
Texas ranks No. 3 out of the top 5 states listed. According to SmartAsset, Texas has the second-highest recent food shortage, with 15.2% of adults not having enough food over the course of the previous seven days.
The report also stated that the state has the 11th-highest 2019 poverty rate and the 12th-highest change in unemployment during COVID-19. The report shows that almost 10% of residents reported in mid- to late-February 2021 that they either missed last month’s rent or mortgage payment or were not confident that they could make next month’s payment on time.