The Worcester Regional Research Bureau and the Greater Worcester Community Foundation released a new analysis this month showing that the income gap between the county’s highest and lowest earners has widened over the past decade. Using the 80/20 income ratio – the household income at the 80th percentile divided by the income at the 20th percentile – the county’s ratio climbed from 4.8 in 2012 to 5.1 in 2022.
Housing cost burden eases modestly
At the same time, the share of households spending more than 30% of their monthly income on rent or a mortgage fell from 36% to 32%. The report suggests that rising middle‑class incomes may be helping to ease the overall housing cost burden, even as the top and bottom of the income spectrum pull further apart.
Poverty numbers stay flat despite population growth
While the poverty rate held near 10%, the absolute number of residents living in poverty rose by more than 3,400 between 2012 and 2022. Population growth of tens of thousands kept the rate steady, but the county added thousands of people in need of assistance.
Statewide, the number of Massachusetts residents in poverty fell 3.71%, from 698,286 to 672,361. Worcester County was one of four counties – along with Middlesex and Norfolk – where the count rose.
City of Worcester bears the brunt
The city of Worcester tops the county’s 60 municipalities for poverty. In each of the three five‑year periods examined, more than 40% of Worcester households were cost‑burdened. The 2020‑2024 American Community Survey estimates show 19.6% of city residents lived below the poverty line, nearly double the countywide rate of 10.3%.
Housing affordability is especially tight for renters: over half of Worcester renters spend more than 30% of their income on housing. The city’s 80/20 income ratio reached 5.9, compared with 5.0 for the county overall. A household at the 80th percentile earned about $143,200 annually, while one at the 20th percentile earned roughly $24,300.
Rural and suburban trends vary
Rural and suburban communities saw the income gap grow, while the county’s four cities experienced a slight narrowing of the gap. Suburban areas recorded a statistically significant rise in residents living in poverty, whereas the rural count dipped slightly within the margin of error.
Notable changes include a 217% increase in poverty in Barre (over 500 additional residents) and a 60% decline in Templeton (about 600 fewer residents). West Boylston posted the largest suburban increase after accounting for margins of error, rising from 234 to 547 residents in poverty. Fitchburg, by contrast, saw a decline of 1,700 residents.
Local nonprofits step in
The report highlights several nonprofit agencies working to alleviate hardship. Worcester Community Action Council provides fuel assistance, financial coaching, tax preparation, early‑education, and employment services. The Worcester County Food Bank distributes donated food through a network of 115 partner agencies. In Leicester, Deja New Leicester helps residents cover rent, utilities, taxes, and transportation costs, and offers free rides to non‑emergency medical appointments.
Authors caution that small towns carry larger margins of error, making estimates for places like Worcester and Fitchburg more reliable than those for tiny municipalities. They also advise against directly comparing the 2022 and 2024 figures because the survey years overlap.
Original reporting: This Week in Worcester — read the source article.