Lower incomes, higher poverty rates and trouble covering basic needs are some of the pressures on Arkansas families. Moreover, many conditions are dramatically worse for African American and Latino individuals and families.

Teen births have fallen 42% since 2015 but remain high at 22 per 1,000 teen females in 2024, making Arkansas 50^th in the nation on this indicator. Arkansas continues to have elevated rates of child abuse and neglect. In 2024, 9.5 children per 1,000 were reported to be abused or neglected, the lowest rate in a decade, but still higher than the national rate of 7.4.

Arkansas continues to have high poverty rates. In 2020-24, 16% of individuals and 21% of children were living in poverty, both higher than national rates. Arkansas ranked 47^th in the nation for overall poverty and 45^th for child poverty. Poverty rates were much higher among children of color – 40% of African American and 25% of Latino children were in poverty, compared to 16% of White children.

Arkansas was 48^th in the nation for household income. In 2020-24, the state’s median household income was about 75% of the national level at $60,800. Median income was lowest for African American households at $40,200 compared to Asian and White households at $88,800 and $65,400, respectively.

People are working - unemployment in Arkansas was 3.5% in 2024, slightly lower than the national rate and down from a recent high of 6.1% in 2020. Unemployment was more prevalent among Black or African American residents (8.9%) than Latino (4.5%), White (4.2%) and Asian (2.9%) residents in 2020-24. Jobs in the state increased by 1.3% from 2023 to 2024, similar to the 1.2% increase nationally.

But income from jobs is often not enough. In 2021 (the latest year available), almost half of Arkansas households were “ALICE” households – Asset Limited, Income Constrained, Employed – meaning they do not earn enough to fully provide for basic needs such as housing, food, transportation, child care, health care, and necessary technology - even though many have income higher than the federal poverty level.

In 2023, 19% of state residents were food insecure, the highest rate since 2014 and above the national rate of 14%. Arkansas tied with Mississippi for last in the nation on this indicator. Food insecurity was highest among Black residents (33%), followed by Hispanic or Latino residents (23%) and White residents (17%). In 2020-24, 10% of Arkansas households received SNAP benefits, down from 15% in 2010-14 and slightly below the national rate of 12%. Child care also adds pressure for working families, with toddler care averaging $28 per day statewide in 2023.

Incarceration also affects families and economic stability. In 2023, Arkansas’ incarceration rate was 111 per 10,000 residents, similar to 2022 when it was 108, but still well above the national rate. Racial disparities were substantial, with the incarceration rate for Black or African American residents 3.5 times higher than the White rate.

Access to affordable financial services is also important to individuals and families. In 2017 (the latest year available), slightly less than 8% of Arkansas households were unbanked (meaning they had no checking or savings accounts) and 19% were underbanked (meaning they used alternative services despite having accounts). And rates were much higher among some groups, with 31% of black or African American households and 24% of Latino households underbanked, compared to 17% of white households in 2015. In 2025, 6.3% of Arkansans had a credit bureau record showing medical debt in collection, which can negatively affect credit scores and thereby limit access to loans, credit cards and housing, higher than the national rate of 3.2%.

Housing is a bright spot - generally affordable in Arkansas, with homelessness relatively low. Affordability challenge and racial disparities persist. The homeownership rate was 66% in 2020-24, slightly higher than the national rate, but much lower among Black or African American residents (44%) and Hispanic residents (53%) than White residents (73%). And though the housing affordability ratio of 3.1 puts Arkansas 8^th in the nation for affordable housing, 24% of housing units in Arkansas were considered unaffordable in 2020-24, costing their occupants more than 30% of their income. Homelessness remained relatively low, with Arkansas counting a little over 2,780 homeless individuals in 2024, a rate of 9 per 10,000 residents and the 13th lowest rate nationally.