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It is well established that the link between mental illness and poverty is adverse. Consistent research has shown that individuals with low income have regularly been shown to be linked to an increased incidence of mental illness. Mental health is a significant part of one’s life because it can influence emotions, thoughts, and actions. The purpose of this research is to examine how poverty affects mental health and offer alternative interventions. Three mental illnesses—depression, anxiety, and posttraumatic stress disorder (PTSD) are reviewed in particular, and practical solutions from the perspectives of family, education, and public health are suggested. This research concludes that parenting is a major factor that causes depression and anxiety among children, poor parents with depressed or anxious symptoms also increase the risk of the mental disorder for their children. The poor relatively easier to encounter trauma and have a greater impact after trauma. Additionally, financial assistance from the government and competent policy is essential for providing effective interventions.