Published Date: November 16, 2021

​​Summary: This update of the Real Cost Measure seeks to assess the true costs of living in California and the hardships households face in meeting them in 2021. 

Findings: One in three households (33%, representing 3.5 million families) earn below the Real Cost Measure (RCM). The RCM varies significantly throughout the state, with 11% of households living below the RCM in the San Ramon/Danville region in Contra Costa County and 80% of households living below the RCM in the Southeast/East Vernon region of Los Angeles. More than 1.7 million Latino, more than 1 million white, 483,000 Asian, and 260,000 Black or African American households live below the RCM. Over half of households with children ages 6 and younger live below RCM. Foreign-born households and those with less education are more likely to live below RCM.​ High housing costs are the primary burden for struggling households. 

The Elder Index was adopted and used to calculate the RCM.

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