Some Connecticut families are unable to afford everyday needs, despite earning above poverty wages.
The latest Connecticut ALICE report shows 38% of Connecticut households cannot afford basics including housing, child care, food and transportation, in the communities where they live.
ALICE is an acronym for Asset Limited, Income Constrained, Employed. The ALICE threshold represents the minimum income necessary for survival of a household in a certain community.
ALICE households earn more than the Federal Poverty Level, but not enough to thrive in their county. The study is administered by United Way of Connecticut.
“These are workers often struggling to keep their own households from financial ruin, while keeping our local communities running,” Isabel Almeida, CEO of United Way of Coastal and Western Connecticut said. “Alice represents approximately 40% of individuals living in Fairfield County.”
Housing availability and affordability is a barrier for ALICE families, Almeida said.
Connecticut towns and cities range from having 14% to 69% of households below the ALICE threshold.
At 69% of households, Bridgeport has the highest number in the state of families earning more than poverty level income, but unable to afford basic needs.
Along with Bridgeport, other Fairfield County communities are also hit hard, with Danbury, Stratford, Norwalk and Stamford having nearly half their families below the ALICE threshold, according to the report.
About one in five Fairfield County families are below the threshold, according to Ashley Gaudiano, senior vice president of community impact at United Way of Coastal and Western Connecticut.
“We have to really think about not just those who make up the federal poverty level, but more importantly, who makes up the Alice threshold, who makes just enough money to survive in a community, not even to thrive,” Gaudiano said.
A permanent child tax credit and affordable childcare would alleviate families’ financial burden, according to experts.
