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.