The Real Cost Measure is a self-sufficiency metric developed by the United Ways of California to offer a more accurate assessment of financial security of households compared to the poverty metrics alone. It supplements other poverty measures by accounting for the value of in-kind benefits, regional differences in living costs, or expenses other than food. The Real Cost Measure considers the specific costs of housing, food, health care, childcare, transportation, and other fundamental needs of households in California. To learn more about the methodology of the Real Cost Measure, visit the United Ways of California website (United Ways of California). 

Considerations for Equitable Approaches: Almost all households that fall below the Real Cost Measure in California have at least one working adult. By race and ethnicity, Latino and African American households are more likely to fall below the Real Cost Measure compared to Asian American and White households. Over half of households with children under six fall below the Real Cost Measure. Households led by those with lower educational levels are more likely to fall below the Real Cost Measure.