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.
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.
Trends in poverty - children, 1999-00 to 2017-18
This graph shows the poverty rate amongst children, after housing costs have been deducted, as a percentage of all children. It shows that poverty among children (people aged under 15 years) has moved within a higher band than overall poverty, fluctuating between 14.3% and 18.6% from 1999-00 to 2017-18. Before the Global Financial Crisis (GFC) in 2007, it followed a similar path to the overall poverty rate, declining substantially from 18.6% in 1999-00 to 14.3% in 2003-04, and rising sharply between from 2003-04 to 18.1% in 2001-02. After the GFC, however, the path of child poverty diverged from that of overall poverty. It fell only slightly to 17.8% in 2009-10, declined further to 16.5% in 2013-14, then rose to 16.9% in 2017-18
Profile of each income group by age
This graph shows the make-up of each income group by age. 2019-20: The largest age-group in every income group are 25-64 year olds, as they have a greater share of the population as a whole. However, the lowest income group comprises almost a third of older people, while they comprise only 8% of the highest income group. 2017-18: The largest age-group in every income group are 25-64 year olds, reflecting their greater share of the overall population. However, older individuals are over-represented (66%) in the lowest 40% income group, as are children aged under 15 (45%). Almost half (48%) of people of working age, 25-64 years, were in the highest 40% income group, reflecting that age group’s larger size and greater earning capacity. 2015-16: The largest age-group in every income group are 25-64 year olds. However, older individuals are over-represented (29%) in the lowest 20% income group, and children are over-represented (23%) in the second 20%. In contrast, individuals found in…