These Are America’s Poorest States, Ranked
#23: Kansas
Median income per household: $59, 597
Rate of poverty: 11.4%
Kansas shines as an affordable haven, boasting a median home value of $166,000, as per Zillow. But weighing the boon of low mortgage rates against scant job prospects is advisable for potential movers.
With Kansas’s minimum wage at the federal floor of $7.25, a bill aiming for $15 by 2027 is notable. Despite a low unemployment rate, over 100,000 children, 15% of them, grapple with poverty, highlighting socioeconomic challenges.
#22: Arizona
Median income per household: $58, 945
Rate of poverty: 13.5%
From 2015 to 2018, Arizona saw the highest drop in poverty levels in the U.S., yet it remains 3% above the national poverty rate. Educational setbacks for children there predict challenging future job markets, despite the older generation’s higher education levels.
Arizona is positioned towards the end of WalletHub’s ranking on school systems, highlighted by significant dropout rates, underwhelming standardized test performances, and a noticeable shortage of educators for available positions.
#21: Georgia
Median income per household: $58, 700
Rate of poverty: 13.3%
Despite its nickname, Georgia’s not the top peach producer; that’s California. However, its $73.3 billion agricultural sector immensely boosts its economy. While having the nation’s lowest minimum wage at $5.15, most workers earn at least $7.25.
In Georgia, 461,000 children live in poverty. Atlanta faces severe income inequality, ranking poorly among major cities. A simple money-saving tip for Georgians is using a free browser extension that scours for deals online, ensuring lower prices on purchases.
#20: South Dakota
Median income per household: $58, 275
Rate of poverty: 11.9%
In South Dakota, agriculture reigns supreme, generating $10 billion annually. Despite this, many residents work in lower-paying sectors such as administrative support and food services, earning between $23,800 and $33,490 on average.
Due to a scarcity of white-collar jobs, skilled workers often leave South Dakota for better prospects. However, for those with limited income, investing apps offer a chance to participate in the stock market affordably, enabling investments in giants like Amazon or Tesla.
#19: Maine
Median income per household: $57, 918
Rate of poverty: 10.9%
Maine, renowned as the Pine Tree State, leads globally in pulp-paper production due to its extensive forests. However, the digital age and foreign competition are cutting into this. Tourism has overtaken as Maine’s prime industry, yet COVID-19 had a devastating $2.3 billion impact in 2020.
Portland, Maine’s largest metropolis, saw homelessness surge to near-record levels in November, as many people lost temporary housing during the pandemic. The city grapples with high housing costs, with median home values surpassing $377,000.
#18: Michigan
Median income per household: $57, 144
Rate of poverty: 13%
Michigan, the cradle of the American auto industry, faced a 10.2% unemployment rate last year. Once dominated by General Motors, the automotive workforce has plummeted by 75% since 1995, reflecting a significant economic shift.
Beyond Detroit, Michigan’s rural areas battle economic difficulties, with Lake County being the poorest. The region grapples with limited high-paying jobs and a scant number of college graduates. For those unemployed, promptly securing affordable health insurance via comparison sites is crucial.