Child poverty in Arkansas has reached a concerning rate of 14% from 2022 to 2024, according to the latest findings from the Annie E. Casey Foundation’s KIDS COUNT Data Snapshot. This figure indicates that approximately one in seven children in the state is living in poverty, which surpasses the national average of 13%. The rate has seen a significant increase from 8.9% during the period of 2019-2021.
The report, titled Measuring Access to Opportunity in the United States: A 10-Year Update, employs the Supplemental Poverty Measure (SPM). This measure takes into account essential household expenses such as housing, health care, and childcare, while also evaluating the impact of government programs like the Child Tax Credit, Earned Income Tax Credit, Supplemental Nutrition Assistance Program (SNAP), and various housing subsidies.
Without these supportive policies, the child poverty rate in Arkansas could have soared to 30%, affecting around 104,000 children. The implementation of these government interventions has effectively reduced the poverty rate by 15 percentage points.
Impact of Tax Credits on Child Poverty
Pete Gess, the economic policy director at Arkansas Advocates for Children and Families, emphasized the importance of tax credits in alleviating child poverty. In a statement on October 22, he noted, “Arkansas does not have a state-level earned income tax credit or child tax credit. Both of these tax credits have been shown to lift children out of poverty in other states and would do the same here.”
The South, which includes Arkansas, is noted for having the highest child poverty rates in the country. The region has experienced a troubling 5-percentage-point increase in poverty rates from 2019-2021 to 2022-2024.
The report further reveals that child poverty costs the United States up to $1 trillion annually in lost productivity, reduced lifetime earnings, and increased spending on health care, crime, and public assistance programs. Alarmingly, many children living in poverty come from families with at least one employed parent. Nationwide, 61% of children in poverty in 2024 resided in households with at least one working adult.
As the data highlights the pressing issue of child poverty, it underscores the critical need for effective policies and interventions to support vulnerable families in Arkansas and across the United States. The full report can be accessed for further insights into the situation, providing a comprehensive view of how child poverty is impacting communities.
