In this article, we look at the 10 states with the lowest poverty rates in America. To see what metric we used to rank these states, you can head over to 25 States with the Lowest Poverty Rates in America.
10. Idaho
Poverty Rate: 8.5%
Known for its mountains and wilderness, the northwestern state of Idaho had a poverty rate of 8.5% in 2021, according to figures released by the Census Bureau. Real Estate, manufacturing, and retail are the three main drivers of the state’s economy.
9. Nebraska
Poverty Rate: 8.4%
Nebraska’s poverty rate was estimated to be 8.4% in 2021, an improvement from 9.2% in 2020. As a result, Nebraska is among the 10 US states with the lowest poverty rates.
8. Vermont
Poverty Rate: 8.3%
Vermont’s economy is one of the smallest in the United States, estimated to be worth $35 billion in size. Much of this comes from the service sector, which is the driver of Vermont’s economy. 8.3% of the state’s residents live below the poverty line.
7. Maryland
Poverty Rate: 8%
Maryland is one of the richest states in the US having one of the lowest poverty rates in the country. In 2021, an estimated 8% of its population were poverty-stricken. The state is home to the hotel chain, Marriott International, Inc. (NASDAQ:MAR), as well as some of the most wealthy people in the country.
6. Massachusetts
Poverty Rate: 7.9%
Massachusetts has taken great strides towards tackling poverty. The percentage of people living below the poverty line in the state dropped by more than 14% between 2019 and 2021, according to census results shared by the U.S. Census Bureau.
5. Washington
Poverty Rate: 7.6%
The state of Washington has the fifth lowest poverty rate in the U.S. according to the most recent census. It is the country’s 13th most populous state, being home to more than 7.7 million people. Of these, 7.6% live in poverty.
4. Utah
Poverty Rate: 7.5%
Utah, with a poverty rate recorded at 7.5% in 2021, is the fourth U.S. state with the lowest poverty rates. Coal mining and government services are the major industries in the state’s economy.
3. New Jersey
Poverty Rate: 7.3%
New Jersey is third on our list of states with the lowest poverty rates in America. The U.S. Census Bureau in 2021 estimated its poverty rate to be 7.3%. A number of large corporations are headquartered in New Jersey, which contributes to the economic wellbeing of its population. Companies include Johnson & Johnson, Merch, and Celgene, among others.
2. Minnesota
Poverty Rate: 7%
Minnesota had a poverty rate of 7% in 2021. It had the second lowest poverty rate in America. Minnesota is the 12th largest state by area, and the 22nd biggest in terms of population size. The state borders Canada.
1. New Hampshire
Poverty Rate: 5.6%
New Hampshire has the lowest poverty rate in the United States among all of the 50 states that were surveyed by The U.S. Census Bureau to determine poverty rates. In 2021, the state’s poverty rate increased just slightly to 5.6% from 2020’s figure of 5.4%. Despite that, New Hampshire’s poverty rate is half of the average poverty in the country.
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