This report provides a first-time analysis of how the allocation of public resources for children varies by family income. Examining federal expenditures for nearly 100 federal programs in 2009, the report finds that 70 percent of all federal spending on children served the 42 percent of children who are low-income — living in families with incomes less than twice the federal poverty level. While low-income children received 84 percent of outlays on children, higher-income children received 82 percent of tax reductions benefiting children.