Capitol Fax.com - Your Illinois News Radar » United Way: 36 percent of Illinois households can’t afford basic necessities
SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
CapitolFax.com
To subscribe to Capitol Fax, click here.
United Way: 36 percent of Illinois households can’t afford basic necessities

Thursday, Mar 5, 2020

* Press release…

Majority Leader Kimberly A. Lightford (D-Maywood) joined the United Way in releasing their report on Illinois ALICE households – asset-limited, income-constrained and employed.

The report focuses on families living above the federal poverty level, but below the threshold of a basic survival budget of $57,144 for a family of four and $19,212 for a single adult.

“People all over Illinois are struggling to get ahead. We know this intuitively, and we see it in our communities. I see it every day in my west side and west suburban district,” Lightford said. “ALICE allows us to put some real data behind that intuition.”

In Lightford’s district, only 18% of households fall below the poverty line, but many more people than that are unable to afford an unexpected car repair or be able to put anything aside for the future. Those households are much more represented in the more than 47% of households in the 4th Senate District that are ALICE households.

Lawmakers will use the data to help better understand the needs of Illinoisans as they make public policy decisions to help struggling families.

* Deb Pressey at the News-Gazette

Researchers found 36 percent of Illinois households didn’t earn enough to cover that basic survival budget in 2017, the most recent year for which data was available. That included 12 percent of households at or below the poverty level and another 24 percent above the poverty line but still below the survival budget thresholds.

While Illinois households in the ALICE category earned significantly more than the federal poverty level of $24,600 for a family of four and $12,060 for a single adult, they still didn’t earn enough to cover the cost of housing, child care, food, transportation, health care and technology, researchers found.

* From the report’s executive summary, here is the “range of obstacles to achieving financial stability”

• The extent of hardship: Of Illinois’ 4.8 million households, 12 percent lived in poverty in 2017 and twice as many — another 24 percent — were ALICE households. Combined, 36 percent (1,758,032 households) had income below the ALICE Threshold, an increase of 20 percent since 2007.

• The basic cost of living: The cost of basic household expenses in Illinois increased steadily to $57,144 for a family of four (two adults with one infant and one preschooler) and $19,212 for a single adult — significantly higher than the FPL of $24,600 for a family of four and $12,060 for a single adult. The cost of the family budget increased by 38 percent from 2007 to 2017, driven primarily by increases in the cost of housing, health care, and child care, and by the addition of a basic smartphone plan to the budget.

• Low wages: Low-wage jobs continued to dominate the landscape in Illinois, with 56 percent of all jobs paying less than $20 per hour. Although unemployment rates fell during this period, wages remained low for many occupations. With more contract work and on-demand jobs, job instability also increased, making it difficult for ALICE workers to meet regular monthly expenses or to save. In addition, gaps in wages varied based on the type of employer as well as the gender, education, and race/ethnicity of workers.

• The role of public assistance: Public and private assistance continued to provide support to many households living in poverty or earning slightly above the FPL, but it provided less support to ALICE households whose income was above eligibility levels. Spending on health care and health insurance outpaced spending in other budget areas; there remained large gaps in other types of assistance, especially in housing and child care.

* Emerging trends

• The changing American household — Shifting demographics, including the rise of millennials, the aging of baby boomers, and domestic and foreign migration patterns, are having an impact on who is living together in households and where and how people work. These changes, in turn, influence the demand for goods and services, ranging from the location of housing to the provision of caregiving.

• Increasing vulnerability of workers — Within a global economy, economic disruptions, natural disasters, and technological advances in other parts of the world trigger rapid change in supply and demand for U.S. industries. Increasingly, this risk has been shifted from companies to workers. In addition to the often-disruptive effects of technology on jobs and the workplace, ALICE workers have low wages and increasingly face income volatility.

• Growing health inequality — As health costs rise, disparities in health increase, especially according to income. Expensive medical and technological advances that are out of reach of lower-income households will only further this divide. The societal costs of having large numbers of U.S. residents in poor health will also grow.

Click here for the summary and click here for the full report. Click here for an interactive county map. Lots of poverty in southern Illinois.

* Related…

* More deep poverty found north of Dempster

* General Assembly forecasters agree with administration on revenue estimate

* Legislators Mull Creation of Behavioral Health Workforce Center

* Food stamp change fuels anxiety as states try to curb impact

* New Report Finds Illinois Women And Girls Face “Barriers” To Success

- Posted by Rich Miller        

9 Comments
  1. - JP - Thursday, Mar 5, 20 @ 10:51 am:

    I would be interested in knowing what the researchers defined as economically “viable” in this study. I am also flabbergasted that they found a four-child family needs nearly 100k per year to achieve this “viability.” Though my experience may only be anecdotal, I was raised in a house of nine children with nowhere near that budget - the systems in place within this state allowed my family to live quite comfortably; not necessarily as well as those whose parents made corporate salaries, but a living nowhere near what I would call “poverty”.


  2. - ktkat1 - Thursday, Mar 5, 20 @ 11:13 am:

    No one should be surprised by this. The minimal increases in pay has not kept up with the costs for housing, food, clothing and utilities. As a single mother over 25 years ago, I found a way to manage but even then I struggled. Now? I wouldn’t even try…


  3. - Downstate - Thursday, Mar 5, 20 @ 11:17 am:

    If your son/daughter is searching for something, have them look at the railroad industry. Conductor trainee positions are always open. Only a high school education is required. Starting pay exceeds most college degree starting salaries.


  4. - revvedup - Thursday, Mar 5, 20 @ 11:54 am:

    One basic issue is the laughably low poverty standards. $12,080 for a single person is barely enough to pay rent in some less than desirable areas. Factor in food and clothes, let alone transportation, and it’s gone. The Federal Poverty Line is set far too low for everybody.


  5. - Blandish - Thursday, Mar 5, 20 @ 12:19 pm:

    This should be kept in mind whenever a new sales tax or fee is considered.


  6. - Union thug - Thursday, Mar 5, 20 @ 12:52 pm:

    “This should be kept in mind whenever a new sales tax or fee is considered.”

    I take it you support the fair tax then?


  7. - Say What? - Thursday, Mar 5, 20 @ 1:18 pm:

    What do the numbers look like by region, indexed to account for dramatic cost of living differences ?


  8. - Blue Dog Dem - Thursday, Mar 5, 20 @ 2:06 pm:

    Just think of the expenses I didnt have as a 20 yr. Old.
    Cell phone.
    Cable/directv.
    Internet.
    Ridiculous property taxes.
    Ridiculous home owners.
    Ridiculous health care.
    Ridiculous electric fees.


  9. - Anonanonsir - Thursday, Mar 5, 20 @ 2:17 pm:

    ==$12,080 for a single person is barely enough to pay rent in some less than desirable areas.==

    Yep.

    ==The cost of the family budget increased by 38 percent from 2007 to 2017==

    That’s more than double the government’s CPI increase of about 18%. When you look at your significant expenses, how many of them increase by 1.6% per year or less? Kinda makes you wonder about the government’s inflation numbers.


TrackBack URI

Sorry, comments for this post are now closed.


* Pritzker thanks Abbott Labs - "Our rate of rise is looking less and less exponential" - Praises local groups for pitching in - Shoutout to #SpritzersWithPritzker - Dr. Ezike: "If you think you don't have a case in your zip code that's probably not actually the case" - Pritzker defends pending minimum wage hike - Still no date for IDES fix - Could come back in the fall - More testing in African-American areas - Curve not bending down yet - Will be posting PPE contracts online - Following Gov. Baker's lead on contact tracing - Dr. Ezike outlines DHS DD center readiness - Addresses federal halt to funding drive-through testing - "I think everybody needs to think seriously about canceling large summer events" - Plans to pursue workshare program
* 1,344 new cases, 66 additional deaths
* Ted E. Leverenz
* COVID-19 roundup
* Worst case scenario: "Illinois could lose more than $28 billion between calendar years 2020 and 2023"
* Today's heroes: Tony and Lisa Yuscius
* Question of the day
* The testing situation
* Still no word on when gig workers can access Illinois unemployment insurance
* *** UPDATED x1 *** National stockpile runs dry as feds stop supporting drive-through sites
* 6.6 million new jobless claims
* Open thread
* *** LIVE COVERAGE ***
* *** UPDATED x1 - 50 at Shapiro, 29 at Ludeman *** Several Murray Developmental Center residents, 1 staff test positive
* Yesterday's stories

Support CapitolFax.com
Visit our advertisers...

...............

...............

...............

...............

...............

...............

...............

...............


Loading


Main Menu
Home
Illinois
YouTube
Pundit rankings
Obama
Subscriber Content
Durbin
Burris
Blagojevich Trial
Advertising
Updated Posts
Polls

Archives
April 2020
March 2020
February 2020
January 2020
December 2019
November 2019
October 2019
September 2019
August 2019
July 2019
June 2019
May 2019
April 2019
March 2019
February 2019
January 2019
December 2018
November 2018
October 2018
September 2018
August 2018
July 2018
June 2018
May 2018
April 2018
March 2018
February 2018
January 2018
December 2017
November 2017
October 2017
September 2017
August 2017
July 2017
June 2017
May 2017
April 2017
March 2017
February 2017
January 2017
December 2016
November 2016
October 2016
September 2016
August 2016
July 2016
June 2016
May 2016
April 2016
March 2016
February 2016
January 2016
December 2015
November 2015
October 2015
September 2015
August 2015
July 2015
June 2015
May 2015
April 2015
March 2015
February 2015
January 2015
December 2014
November 2014
October 2014
September 2014
August 2014
July 2014
June 2014
May 2014
April 2014
March 2014
February 2014
January 2014
December 2013
November 2013
October 2013
September 2013
August 2013
July 2013
June 2013
May 2013
April 2013
March 2013
February 2013
January 2013
December 2012
November 2012
October 2012
September 2012
August 2012
July 2012
June 2012
May 2012
April 2012
March 2012
February 2012
January 2012
December 2011
November 2011
October 2011
September 2011
August 2011
July 2011
June 2011
May 2011
April 2011
March 2011
February 2011
January 2011
December 2010
November 2010
October 2010
September 2010
August 2010
July 2010
June 2010
May 2010
April 2010
March 2010
February 2010
January 2010
December 2009
November 2009
October 2009
September 2009
August 2009
July 2009
June 2009
May 2009
April 2009
March 2009
February 2009
January 2009
December 2008
November 2008
October 2008
September 2008
August 2008
July 2008
June 2008
May 2008
April 2008
March 2008
February 2008
January 2008
December 2007
November 2007
October 2007
September 2007
August 2007
July 2007
June 2007
May 2007
April 2007
March 2007
February 2007
January 2007
December 2006
November 2006
October 2006
September 2006
August 2006
July 2006
June 2006
May 2006
April 2006
March 2006
February 2006
January 2006
December 2005
April 2005
March 2005
February 2005
January 2005
December 2004
November 2004
October 2004

Blog*Spot Archives
November 2005
October 2005
September 2005
August 2005
July 2005
June 2005
May 2005

Syndication

RSS Feed 2.0
Comments RSS 2.0
WordPress




Hosted by MCS SUBSCRIBE to Capitol Fax Advertise Here Mobile Version Contact Rich Miller