Today, children and young people represent the age group that is most frequently threatened by poverty in Germany. Poverty during childhood means a bad start to life and often has long-term effects on an adolescent's social and health development. Health problems are more frequent among preschool-age children from socially disadvantaged families. They are also more often affected by accidents and dental problems. In adolescence, links can be established between the social situation and psychosocial well-being, pain incidence and health behaviour. However, poverty does not inevitably go hand-in-hand with health problems. A stable and supporting social environment -- particularly in families, peer groups and schools -- promotes the development of a positive self-image and social skills, thus empowering the child to deal with demanding living conditions. Measures of social and health policy aimed at lessening the effects of poverty on health must start here.