Subjective poverty can be thought of as an individual's feelings towards their level of poverty. It includes things like happiness and satisfaction with one's health, job, housing, etc. If a person is living in a neighborhood in which everyone is living in the same way then an individual who may be considered poor in absolute or even relative measures may be inclined to think otherwise in subjective terms. If that same individual is living in a neighborhood in which many people are living at a higher standard of living than them then that individual might be more inclined to think of themselves as impoverished. 
Examples of personal variables that may affect someone's subjective view of poverty include: socioeconomic circumstances, cultural values, political contexts, countries, and regions. There are a number of factors that correlate to how someone feels about their level of poverty, not just the amount of income someone makes.