A new analysis has revealed which states in America have the highest and lowest levels of childhood disadvantage, with New Mexico, Alaska, and Louisiana topping the list for underprivileged children, according to a 2025 WalletHub study.
Why It Matters
Childhood poverty and disadvantage remain persistent challenges in the U.S., with one in seven children living below the poverty line, despite the country’s overall wealth, according to the report.
What To Know
New Mexico ranked as the state with the most underprivileged children in WalletHub’s 2025 report. The study found that nearly 25 percent of New Mexico’s children live below the poverty line. The state also has the largest share of children in low-income households where no adults work, and significant percentages of children living in single-parent families or with grandparents only.
“Of course, both single parents and grandparents can be loving, responsible caregivers, but these children still face difficult circumstances that lead them to these living arrangements,” the report said.
Alaska was ranked the second most disadvantaged state for children. A high rate of homeless children, many lacking secure parental employment, and reduced access to health insurance contributed to Alaska’s poor ranking. The quality of the state’s education system also lagged behind much of the country, according to WalletHub’s report.
Louisiana followed in third place. The state reported the second-highest percentage of children whose parents’ income was below the poverty level and notable numbers living with grandparents but without parental presence. Significant issues included high food insecurity, increased infant mortality, and the fifth-lowest school system quality nationally, the report said.
How It Was Calculated
WalletHub assessed children’s living and economic conditions across all 50 U.S. states and D.C. by analyzing 25 metrics within three categories: socio-economic welfare, health, and education. Each metric, focused primarily on children aged 0–17, was scored on a 100-point scale. Final rankings were based on the weighted average of these metrics.
What People Are Saying
WalletHub analyst Chip Lupo said in the report: “Tackling the problem of underprivileged children in America requires a multifaceted approach. On top of lifting children out of poverty and making sure they have access to adequate nutrition and medical care, we also need to look after their mental health, protect them from abuse and ensure they receive quality education. Failing to address even one of these issues can lead to worse outcomes during adulthood.”
What Happens Next
WalletHub releases its “States with the Most Underprivileged Children” report annually.
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