Child Poverty Nearly Triples to 13% Over Three Years; Public Policies and Programs Proven to Halve the Rate

New Annie E. Casey Foundation Report on the Supplemental Poverty Measure Shows the Power of Federal and State Programs to Keep Kids Fed, Housed and Healthy

BALTIMORE, Oct. 20, 2025 /PRNewswire/ -- Child poverty in the U.S. has surged, nearly tripling from 5% in 2021 to 13% in 2024. This dramatic increase follows the expiration of pandemic-era economic policies and rising prices that have strained family budgets nationwide. However, a new report from the Annie E. Casey Foundation, Measuring Access to Opportunity in the United States: A 10-Year Update, underscores the profound impact of public policies and programs, demonstrating their capacity to cut child poverty in half. 

This report, which analyzes U.S. Census Bureau figures from the annual Supplemental Poverty Measure (SPM), reveals that more than one in eight children in this country lived in poverty in 2024. Without the support of government programs and policies, the child poverty rate would nearly double — underscoring how vital these efforts are to helping families make ends meet. Among children living in poverty, 61%, or 5.9 million, lived with at least one employed parent in 2024. 

The SPM is a more accurate gauge of families' economic situations than the official poverty measure's income threshold of $31,812 for a family of four in 2024. The SPM accounts for essential expenses such as housing, medical and child care; adjusts for rising costs and geographic differences in the cost of living; and measures the effectiveness of vital resources like tax credits, Social Security, Supplemental Security Income (SSI), food assistance and housing subsidies.

"Poverty poses a serious threat to children's development and long-term well-being, with far-reaching consequences for our economy," said Leslie Boissiere, vice president of external affairs at the Annie E. Casey Foundation. "The data unequivocally show that public programs directly help our nation's children. By investing in children's well-being — through both public policy and employment practices that provide family-sustaining wages — we can enable more children to thrive and contribute as they become adults."

Policies and programs to stave off poverty are becoming more of a lifeline for families in the face of rising costs in recent years. As housing, food, child care, and health care costs continue to rise, families find it increasingly difficult to make ends meet despite receiving assistance.

Researchers estimate child poverty costs the United States up to $1 trillion annually in lost productivity, lower lifetime earnings and higher spending on health care, crime and public programs. Communities with high poverty rates bear the costs of higher spending on health care and increased crime, while schools have fewer resources and worse outcomes than wealthier districts.

The data from Measuring Access to Opportunity demonstrate that:

• Millions of children are kept out of poverty by supportive public policies; without them, child poverty would nearly double. Policymakers must prioritize policies and investments that empower all families to lead healthy, fulfilling lives.
• Government data must remain available to accurately measure the effects of public programs on reducing poverty.
• Policymakers should ensure the continued availability of high-quality data from the U.S. Census Bureau's Current Population Survey and other surveys.

ABOUT THE ANNIE E. CASEY FOUNDATION
The Annie E. Casey Foundation creates a brighter future for the nation's young people by developing solutions to strengthen families, build paths to economic opportunity and transform struggling communities into safer and healthier places to live, work and grow. For more information, visit www.aecf.org. KIDS COUNT ® is a registered trademark of the Annie E. Casey Foundation.

SOURCE The Annie E. Casey Foundation