Report shows Hispanics responsible for billions in annual spending power
Baton Rouge, LA —The Partnership for a New American Economy released a new report Thursday highlighting the important role that both native and foreign-born Hispanics play as consumers, purchasing goods and services that circulate money through the economy and help to grow and sustain businesses.
The report also highlights their contributions to tax revenue, Medicare, and Social Security programs.
The reports key findings:
- Hispanic households, both native and foreign-born, account for a large portion of America’s overall spending power. In 2013, Hispanics had an estimated after-tax income of more than $605 billion.
- The growing earnings of Hispanic households have made them major contributors to U.S. tax revenue. In 2013, Hispanic households contributed more than $190 billion to U.S. tax revenues as a whole, including almost $67 billion in state and local tax payments.
- Hispanics, and foreign-born Hispanics in particular, play an important role sustaining America’s Medicare and Social Security programs. In 2013, Hispanic households contributed more than $98 billion to Social Security and almost $23 billion to the Medicare’s core trust fund. Past studies have indicated that in Medicare in particular, immigrants draw down far less than they put in to the trust fund each year, making such tax contributions particularly valuable.
Posted on Fri, December 12, 2014
by New American Economy