By Herb Scribner
@HerbScribner
Published: May 19, 2018 7:00 am
SALT LAKE CITY — A new study released this week found that nearly half of Americans can’t afford the basics of life, including rent and food.
The United Way ALICE Project released the study, which found 51 million households don’t earn a monthly income that can pay for food, child care, housing, transportation and a cell phone.
In total, that’s about 43 percent of American households, with California, New Mexico and Hawaii having the most struggling families with 49 percent in each of those states. North Dakota had the lowest at 32 percent.
The study found 16.1 million homes live in poverty. Meanwhile 34.7 million were dubbed as “ALICE,” which stands for Asset Limited, Income Constrained, Employed.
Stephanie Hoopes, the project's director, told CNNMoney this group of people makes less than what’s needed to have a basic middle-class lifestyle.
"Despite seemingly positive economic signs, the ALICE data shows that financial hardship is still a pervasive problem," she said.
When it comes to Utah, 10 percent of the 941,094 households were deemed as living in poverty. About 29 percent were labeled as ALICE.
That puts Utah’s total share of struggling families around 39 percent, which is about middle of the road on the ALICE scale, which ranges from 32 to 39 percent.
Hoopes told NJ.com that wages haven’t risen to meet the growing cost of living.
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"I think we feel that in our communities," Hoopes said. "There's a sense of frustration or even anger because people are being told that they're doing better but they aren't."
Worst, she said, is the fact those families are unable to save money over time.
"A lot of people had their savings wiped out during the recession," Hoopes said. "A lot of people lost their jobs. And we're finding, when they were rehired, it was for less and they've been unable to replenish those savings."
@HerbScribner
Published: May 19, 2018 7:00 am
SALT LAKE CITY — A new study released this week found that nearly half of Americans can’t afford the basics of life, including rent and food.
The United Way ALICE Project released the study, which found 51 million households don’t earn a monthly income that can pay for food, child care, housing, transportation and a cell phone.
In total, that’s about 43 percent of American households, with California, New Mexico and Hawaii having the most struggling families with 49 percent in each of those states. North Dakota had the lowest at 32 percent.
The study found 16.1 million homes live in poverty. Meanwhile 34.7 million were dubbed as “ALICE,” which stands for Asset Limited, Income Constrained, Employed.
Stephanie Hoopes, the project's director, told CNNMoney this group of people makes less than what’s needed to have a basic middle-class lifestyle.
"Despite seemingly positive economic signs, the ALICE data shows that financial hardship is still a pervasive problem," she said.
When it comes to Utah, 10 percent of the 941,094 households were deemed as living in poverty. About 29 percent were labeled as ALICE.
That puts Utah’s total share of struggling families around 39 percent, which is about middle of the road on the ALICE scale, which ranges from 32 to 39 percent.
Hoopes told NJ.com that wages haven’t risen to meet the growing cost of living.
40 comments on this story
"I think we feel that in our communities," Hoopes said. "There's a sense of frustration or even anger because people are being told that they're doing better but they aren't."
Worst, she said, is the fact those families are unable to save money over time.
"A lot of people had their savings wiped out during the recession," Hoopes said. "A lot of people lost their jobs. And we're finding, when they were rehired, it was for less and they've been unable to replenish those savings."
