The Poorest States In The U.S.

Summary of Facts

Nationally, the U.S. has an average poverty rate of 13.7%
Over 40 million Americans live in Poverty
Mississippi has the percentage of its population living in poverty at 20.3%
California has the highest number of people living in poverty at over 5,163,814
Only 7.6% of people in New Hampshire are considered to be living in poverty, less than any other state in the US
15 States have a child poverty rate of over 20%
New Mexico, West Virginia, and Mississippi all have adult poverty rates of over 18%
Louisiana has the highest senior poverty rate of 12.8%

Despite being the richest country in the history of the world, the United States still struggles with poverty in several communities. Poverty impacts millions of people, from children to the elderly. In general, the Federal government defines the official poverty threshold at or below $25,700 per year.

With that in mind, we’ve broken down the yearly poverty rates of each state. Here are the highlights of our findings:

Here are the ten states with the highest poverty rate:

How We Determined the States with the Highest Poverty Rates

This was fairly simple. To determine which states had the highest poverty rate, we needed to determine the percentage of that state’s population that lives in poverty. We got the state population from the American Community Survey. We then analyzed the number of people in each state living in poverty.

The higher the percentage of the population in poverty, the higher the state-ranked. For example, West Virginia might only have 310,765 people in poverty, compared to New York’s 2,867,908, but West Virginia’s significantly smaller population leads to a higher percentage of people in poverty overall.

Keep in mind that while you look at the top ten poorest states, the states with the lowest levels of poverty have rates below 10%. While a majority of the states that made the top ten have rates over 15%.

Mississippi

Poverty Rate: 20.3%
Number of People Living in Poverty: 586,013
State Population: 2,886,767

Named after the mighty Mississippi River, the state of Mississippi also struggles with a terribly high poverty rate of 20.3%. Across the board, Mississippi has the highest child (28.7%), adult (18.8%), male (18.2%), and female (22.3%) poverty rates. In 2019, the state had a per capita income averaged as low as $24,369 per year.

This lack of income can be attributed to agriculture and education. Unfortunately, most agriculture jobs in the state don’t provide high incomes, and there is also a lack of the higher education needed to get into higher-paying jobs.
Louisiana

Poverty Rate: 19.2%
Number of People Living in Poverty: 870,281
State Population: 4,532,714

Despite the beautiful bayous and stunning city of New Orleans, Louisiana has an incredibly high poverty rate of 19.2%. The state’s per capita income is only $27,923 per year. Louisiana’s senior poverty rate is especially high, matching Mississippi’s of 12.8%.

These high rates can be attributed to a lack of education and major cities. Though New Orleans is well known, it’s only the 36th largest Combined Metropolitan Statistical Area (CMSA), which makes it significantly smaller than New York City or LA.
New Mexico

Poverty Rate: 19.1%
Number of People Living in Poverty: 391,547
State Population: 2,049,986

Engulfed by the Chihuahuan Desert, New Mexico also struggles with a high poverty rate of 19.1%, making it the third poorest state in the U.S. Despite that, the state’s per capita income is surprisingly high at $45,803 per year. However, the adult poverty rate here is even higher than Louisiana’s, at an average of 18.2%.

These high rates can be attributed to a lack of education, the desert, and inequality. For instance, the poverty rate of American Indians/Alaskan Natives in the state is as high as 30%. On top of inequalities like that, the lack of education and a major city like Las Vegas leaves little in the way of jobs out in the desert.
West Virginia

Poverty Rate: 17.6%
Number of People Living in Poverty: 310,765
State Population: 1,765,715

It’s no secret that this beautiful mountain state has struggled with widespread poverty for a long time. Currently, West Virginia’s poverty rate is 17.6%, despite its low population. The state also has one of the lowest per capita income averages in the U.S., at only $26,480 per year.

Though, interestingly, while West Virginia’s adult poverty rate remains high, at 18.1%, the state’s senior poverty rate of 9.5% is lower than the other top 5 on this list.

These high rates can be attributed to West Virginia’s unfortunate borders, combined with a shifting economy. Originally, the state served as a major coal mining area, which resulted in the construction of mining towns and a decent economy.

However, the lack of land outside the Appalachian Mountains has meant that as coal becomes less popular, West Virginians are left with little to no new opportunities. Without education, the only other jobs available are often related to logging or construction, which don’t pay nearly as much as a corporate position in LA.
Kentucky

Poverty Rate: 17.3%
Number of People Living in Poverty: 745,543
State Population: 4,309,501

Nestled in on the opposite side of the Appalachian Mountains, Kentucky takes the 5th spot on our list. The state’s poverty rate is 17.3%. Kentucky’s per capita income is only $28,178 per year, which is likely due to high senior (11%) and adult poverty (16.7%) rates.

These high rates can be attributed to a lack of education in major cities. Many people become stuck in jobs they don’t want to work because these factors limit upward mobility. Though, it’s worth noting that Kentucky has improved significantly in recent years. In 2011, the state’s poverty rate was 19.4%, meaning that its overall poverty rate has dropped by nearly 3%.
Arkansas

Poverty Rate: 17%
Number of People Living in Poverty: 494,862
State Population: 2,910,954

While this small midwestern state has also improved over time, it still has a poverty rate of 17%. However, this is down considerably from its 2012 average of 19.8%.

Today, Arkansas’ per capita income is only $26,577 per year, which is even lower than some of the states higher up on this list. On top of a very high child (23.7%) and male (15.5%) poverty rate, living comfortably in the state can be difficult for some.

These high rates can be attributed to a lack of education and limited job opportunities. Many of the jobs available are farming or other labor-intensive jobs that don’t pay very highly, and a lack of education prevents people from leaving these jobs.
Alabama

Poverty Rate: 16.7%
Number of People Living in Poverty: 793,966
State Population: 4,754,288

Right next to Mississippi, Alabama takes the 7th slot on our list with a poverty rate of 16.7%. The state’s per capita income is also only $27,928 per year. Unfortunately, Alabama has a child poverty rate higher than even the three states above it on this list, at 23.9%.

These high rates can be attributed to a lack of education and racial inequalities. For example, A shocking 28.4% of African Americans and 32.2% of Latino people live in poverty in the state. Both of these numbers are more than double the amount of White individuals who do.
Oklahoma

Poverty Rate: 15.7%
Number of People Living in Poverty: 599,326
State Population: 3,817,368

Just north of Texas, Oklahoma struggles with a poverty rate of 15.7% and a low per capita income is only $28,422 per year. However, it’s worth noting that the state’s senior poverty rate of 8.9% is lower than any of the others on this list.

Oklahoma’s higher than average poverty rates can be attributed to a lack of education and inequality. Most of the jobs in the state that don’t require an education are related to farming, ranching, or minimum wage positions, which don’t pay well.

On top of that, Native Americans and other minorities in the state suffer from higher poverty rates, despite being a lower percentage of the overall population in poverty.
South Carolina

Poverty Rate: 15.2%
Number of People Living in Poverty: 741,438
State Population: 4,877,884

Despite South Carolina’s beautiful beaches and forests, the state still struggles with a poverty rate of 15.2%. Interestingly, despite having a median household income higher than many other states on this list, the state’s per capita income is still only $29,426 per year. South Carolina also has an unpleasantly high child poverty rate of 22.2%.

These high rates can be rather surprising, considering the lack of city decay in most of South Carolina’s major urban areas. However, much of the state’s poverty rates can be attributed to government mismanagement and racial inequalities. For example, the African American poverty rate in South Carolina is a staggering 26.7%.
Tennessee

Poverty Rate: 15.2%
Number of People Living in Poverty: 994,504
State Population: 6,542,792

The last state on our list is Tennessee, with an overall poverty rate of 15.2%. Tennessee has an average capita income of $29,859 per year. Though the statistics between Tennessee and South Carolina are similar, Tennessee does have a slightly higher male poverty rate of 13.9%.

Luckily for this state, though, the poverty rate has fallen drastically since 2014, from 18.3% to its current 15.2%. Now Tennessee’s poverty rates are much closer to the National Average of 13.7%.

Final Thoughts

As unfortunate as poverty rates are, it’s important to know where these states stand, as well as monitor their improvement. From Mississippi to Tennessee, these states currently have higher poverty rates than any others in the U.S., though some have improved greatly from their previous standings.

Of course, there are a few takeaways to keep in mind. Poverty rates can be indicative of several problems in a state, from inequality to a lack of education to simply a lack of resources.

This list is not meant to generalize any state as being “bad,” only to analyze the current issues in various states. Many of these states are beautiful places that simply have, unfortunately, economic and social struggles.

Never miss an opportunity that’s right for you.

Author

Jack Flynn

Jack Flynn is a writer for Zippia. In his professional career he’s written over 100 research papers, articles and blog posts. Some of his most popular published works include his writing about economic terms and research into job classifications. Jack received his BS from Hampshire College.

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