The paper presents the Living Conditions Index’s construction (LCI), based on the Capability Approach and on the Livelihoods Approach, and its application in Território Rural Zona Sul do Rio Grande do Sul. The research sought to reflect about the existence (or not) of concrete or potential situations of vulnerability and poverty. For this, the ICV’s results were analysed by indicators and by instances. The results showed that families were not exposed, a priori, to situations of vulnerability and poverty. However, given the proven existence of privations to achieve a higher welfare level, a question was made about a possible situation of resignedly accommodation within which these families could be immersed.