Objective: Numerous studies have concluded relationship of the childhood poverty to the impaired academic performance ultimately contributing to low wages and income in the adult life. Objective of this study was to assess the association between household income and the cognitive potential of children.

Methodology: In this cross–sectional study, cognitive potential of 6 to 7 years old children (n=300) from a rural district of Pakistan was assessed through an indicator of the cognitive development called Intelligence Quotient (IQ) or Full Scale Intelligence Quotient (FSIQ) which was calculated by utilizing fourth edition of the Wechsler Preschool and Primary Scale of Intelligence (WPPSI–IV). Data on the sociodemographic profile was collected through mother’s questionnaire.

Results: Low cognitive potential or IQ of the rural Pakistani children was found to be associated with the low–income of the household.

Conclusion: Early childhood development programmes in Pakistan ought to incorporate cognitive–stimulation strategies designed for the low–income children belonging to the rural place of residence in order to disrupt the transmission of poverty to the next generation.

Keywords: poverty, rural, IQ, children, productivity, Pakistan, cognition, low–income, socioeconomic