of the region’s population lived in households with incomes below 200% of the poverty line in 2023
in the Bay Area lived in households with incomes below 200% of the poverty line in 2023
in the Bay Area had poverty rates above the regional average in 2023, primarily in the East Bay
Introduction
What share of Bay Area residents are struggling financially?
Since the 1960s, reducing poverty has been a key U.S. policy goal, with numerous programs aimed at supporting low-income households. In 2023, the federal poverty threshold was $15,480 for an individual and $31,200 for a family of four. While the Bay Area has relatively high household incomes, its elevated cost of living means many still struggle. Measuring the number of households earning less than 200% of the poverty line offers a clearer picture of economic hardship in the region. Despite its overall prosperity, poverty remains a persistent challenge in the Bay Area even during times of economic growth.
Regional Performance
The poverty rate in the Bay Area is near its pre-pandemic historic low (in 2019).
The Great Recession brought poverty levels to new highs, peaking in 2012 with nearly 27% of Bay Area households earning below 200% of the national poverty threshold. Poverty rates fell in all Bay Area counties in the 2010s. Napa County experienced the biggest reduction, decreasing from 30% in 2010 to 20% in 2020.
While the share of Bay Area residents living in poverty increased in 2020 to nearly 19% due to the economic impacts of the COVID-19 pandemic, the poverty rate in 2020 continued to be much lower than the 2012 peak. In 2023, the poverty rate held steady from the previous year, indicating a persistent challenge: 1.4 million Bay Area residents still lived in poverty in 2023, highlighting the continued importance of affordable housing and job training opportunities for all Bay Area residents.
of San Francisco County residents lived in poverty, the highest rate for Bay Area counties in 2023
of San Mateo County residents lived in poverty, the lowest rate for Bay Area counties in 2023
Historical Trend for Poverty Rate
Local Focus
Cities with high poverty rates can be found throughout the Bay Area.
In 2023, approximately one in four Bay Area cities had poverty rates above the regional average, with at least one city per county in the region. Four of the top 10 poorest cities (San Pablo, Richmond, Antioch and Pittsburg) were in Contra Costa County, each with poverty rates of 25% or higher. Yet the same county also had some of the region’s lowest poverty rates, with Orinda, Clayton and San Ramon all below 10%.
In many parts of the Bay Area, neighborhoods with very high and very low poverty levels are often located right next to each other. For Alameda County in 2023, Oakland had the county’s highest poverty rate at 30%, while the city of Piedmont, wholly surrounded by Oakland, had the region’s lowest poverty rate at 5%. In San Mateo County, East Palo Alto had the county’s highest poverty rate at nearly 24%, while nearby Atherton had the county’s second lowest poverty rate at 6%.
of Piedmont residents lived in poverty, the lowest rate of any Bay Area city in 2023
of San Pablo residents lived in poverty, the highest rate of any Bay Area city in 2023
Poverty Rates for Counties, Cities, and Neighborhoods (2023)
Sources & Methodology
The U.S. Census Bureau defines a national poverty level (or household income) that varies by household size, number of children in a household, and age of household member(s). The national poverty level does not vary geographically even though cost of living is different across the United States. For the Bay Area, where cost of living is high and incomes are correspondingly high, the poverty calculation is twice the national poverty level, consistent with what has been used for past equity work at MTC and ABAG. For comparison, however, both the national and 200% poverty levels are presented.
For Vital Signs, the poverty rate is defined as the number of people (including children) living below twice the national poverty level, divided by the number of people for whom poverty status is determined. The household income definitions for poverty change each year to reflect inflation. The official poverty definition uses money income before taxes and does not include capital gains or non-cash benefits (such as public housing, Medicaid and food stamps).
For the national poverty level definitions by year, see: US Census Bureau Poverty Thresholds.
For an explanation on how the Census Bureau measures poverty, see: How the Census Bureau Measures Poverty.
American Community Survey (ACS) 1-year data is used for larger geographies – Bay counties and most metropolitan area counties – while smaller geographies rely upon 5-year rolling average data due to their smaller sample sizes. Note that 2020 data uses the 5-year estimates because the ACS did not collect 1-year data for 2020.
U.S. Census Bureau: American Community Survey
2007-2023
Form C17002