Profile of poverty by age (% of people in poverty)
These graphs show the the number of people living in poverty divided by age groups, by 50% and 60% median income poverty lines, in 2017-18 and 2015-16. 2017-18 The largest age group below the poverty line is those of working age (35-64 years), at 45% of all people in poverty (43% using the 60% of median income poverty line). This reflects their high share (53%) of the overall population. 2015-16 The largest group below the poverty line was those of working age (25-64 years), at 48.1% of all people in poverty (43.7% using the 60% median income poverty line) reflecting their high share (53%) of the overall population.
Profile of poverty among children
These graphs display the number of children living in poverty, divided by household type, by 50% and 60% median income poverty lines, for 2017-18 and 2015-16. 2017-18 This graph shows that most children in poverrty live in couple households (57.1% based on the 50% median income poverty line, and 60.7% based on the 60% median income poverty line). This is because the vast majority of children (82%) live in couple households. However, children in sole parent households are over-represented, at 41.4% and 36.1% of all children in poverty. 2015-16 This graph displays the number of children living in poverty, divided into their household type. It shows that most children in poverty live in couple households (61% based on 50% of median income poverty line, and 63% based on the 60% poverty line). This is because the vast majority of children (83%) live in couple households. However, children in sole parent households are over-represented, at 38% and 34% of all children in poverty.
Rate of poverty among children
This graph shows the rate of poverty among all children according to the 50% and 60% median income poverty lines, in 2017-18 and 2015-16. In 2017-18, 17.7% of all children were living in households experiencing poverty, rising to 25.7% when the 60% poverty line is used. The risk of poverty is highest for children in sole parent families, which is three times that for children in couple families according to the 50% poverty line (44.2% compared with 12.7%). In 2015-16, 17.3% of all children were living in households experiencing poverty, rising to 26% when the 60% poverty line is used. The risk of poverty is highest for children in sole parent families, which is three times that for children in couple families according to the 50% poverty line (39.4% compared with 13.1%).
Rate of poverty by age (% of people)
This graph displays the rate of poverty among all people by age groups. 2017-18: Among children, the rate of poverty is 17.7% based on the 50% of median income poverty line, and 25.5% when using the 60% poverty line. The poverty rate among young people (15-24 years) is also above average at 13.9% (20.2% when the 60% of median income poverty line is used). Among people aged 25 to 64 years, poverty rates are somewhat lower (at 12.1% and 17.6% at the 50% and 60% of median income poverty lines respectively). People 65 years and over who own or are buying their home are less likely to experience poverty than the rest of the population when the 50% poverty line is used (10.3%) but more likely when the 60% poverty line is used (23.7%). This figure also shows the profound impact of housing costs on poverty rates among older people by displaying the poverty rate among the 10% of older people who rent their homes, which is considerably higher than that of older people who own their homes, at…
Poverty Lines by family type
This shows relative poverty in Australia using poverty lines of 50% and 60% of national median household income. More information on the definitions of poverty and different ways of measuring poverty can be found on our poverty page and our FAQ page. It also shows the poverty lines before and after housing costs are taken into account. Housing costs vary considerably among households, depending on whether those households are owners, purchasers or tenants and what part of Australia those households live in. In order to take into account the varying costs of housing, a separate set of ‘after housing costs’ poverty lines is used. This set is created by removing housing costs from disposable income before calculating the median income. This is a measure of the income required to pay for essentials other than housing. 2017-18: The table shows that the poverty line in 2017-18 for a single adult based on disposable income with no allowance for housing costs (the ‘before housing costs’…
Number of people below the poverty line
This table shows the number and percentage of people who live below the 50% and 60% of median income poverty lines in 2015-16 and 2017-18. It also shows the ‘poverty gap’, a measure of the depth of poverty for those living below the poverty line (the average gap between the incomes of people in poverty and the poverty line). It is important to measure poverty gaps, because even if the rate of poverty is reduced, this could still leave many people living well below the poverty line. 2017-18 After taking account of housing costs, over one in eight people (13.6%) live below the 50% of median income poverty line. The poverty rate among children is much higher, over one in six children (17.7%). The poverty rate among young people (aged 15-24) is 13.9%. There are 3,239,000 people living in poverty in Australia. This figure includes 774,000 children and 424,800 young people. The ‘poverty gap’ is 42% of the poverty line, or $282 a week. That is, people below the poverty line have incomes…
Trends in the poverty gap
This graph shows the average poverty gap for all people living below the poverty line, in dollars per week. These figures are indexed for inflation and are expressed in constant 2017-18 values. They are not adjusted for household size, so the average poverty gaps are boosted by the bigger gaps for larger households. It shows that average poverty gaps increased after 2007.
Trends in the poverty gap as a percentage of poverty line, 1999-00 to 2017-18
This graph measures the poverty gap (the average gap between the household incomes of those in poverty and the poverty line) as a percentage of the poverty line. It shows that the average gap between the household incomes of those in poverty and the poverty line rose from 34.3% of the poverty line in 1999-00 to 40.8% in 2003, fell in the boom years to 36.3% in 2007-08, then rose in sawtooth fashion to 44.2% in 2017-18. Broadly speaking, this is the opposite pattern to the trends in poverty rates. This reflects the changing composition of households below the poverty line. For example, a growing number of older people fell below the poverty line during the boom years from 2003 to 2007, but (relative to others in poverty such as people on Newstart Allowance) their average incomes were not as far below the line. The 2009 pension increase lifted many older people above the poverty line, increasing the share of people below the line with much lower incomes.
Poverty rates in OECD countries
Although the Organisation for Economic and Social Development (OECD) uses the same 50% median income poverty line, differences in research methodology mean that the results are close to but not identical to those reported in this website for Australia. 2017-18 This graph shows poverty rates among the Organisation for Economic and Social Development (OECD) countries in 2016, using the 50% median income poverty line. The OECD’s estimate for the overall rate of poverty in Australia according to this graph is 12.1% (compared with our estimate for 2017-18 of 13.6%). This makes Australia’s poverty rate the 16th highest among the 34 OECD countries. 2015-16 This graph shows poverty rates among the Organisation for Economic and Social Development (OECD) countries in 2014-15, using the 50% median income poverty line. The OECD’s estimate for the overall rate of poverty in Australia according to this graph is 12.8% (compared with our estimate for 2015-16 of 13.2%). This makes Australia’s poverty…
Trends in poverty, all people, 1999-00 to 2017-18
This graph shows the poverty rates, after housing costs have been deducted, as a percentage of all people from 1999-00 to 2017-18. Whilst we focus on the consistent estimates based on the pre-2007 measure by the ABS (lower line), this graph also includes the higher poverty rates derived from the 2007-08 ABS income measure (upper line). The graph shows how the overall poverty rate fluctuated within a band between 11.5% and 14.5% between 1999-00 and 2017-18. Poverty declined substantially from 13.1% in 1999 to 11.5% in 2003, rose sharply during the boom years to 14.4% just before the Global Financial Crisis (GFC) in 2007, declined to 12.6% in 2009, and since then has risen modestly to 13.1% in 2017-18.
