The Consequences of Insufficient Household Income

No mother ever envisions finding herself in a shelter. But that’s where Lisa, of Broward
County, Florida, ended up with her two daughters when her fiancé, with whom she
was living, died suddenly. Though she has a job that she loves – as an administrative
assistant for a construction firm – Lisa was unable to pay the rent and other bills like
child care. She soon found herself and her girls living first out of her car, and then
in a shelter. With the help of the shelter, her family eventually moved into a small
apartment, which is clean, but
not in what she feels is a safe
neighborhood. She works hard every
day, but it’s still not enough to
afford a home where her family can
feel safe. “We need lower-priced
housing so my children can go
outside and just play safely, without
fear,” she says.
The longer commute takes a toll
on workers. Beyond the direct
financial costs to households, long
commutes contribute to physical
and behavioral health problems.
According to the Gallup-Healthways Well-Being Index, adults traveling more than 90 minutes each way
are 33 percent more likely to have recurrent neck pain, obesity, and high cholesterol than those with
the shortest commutes. Psychologically, they are more likely to be worried and less likely to be rested,
and they score lower on subjective measures of well-being (Stutzer & Frey, 2004; Crabtree, 2010).
Unforeseen travel delays, along with the physical and psychological tolls of commuting, also
lead to missed work, tardiness, and reduced productivity. In fact, Harvard researchers found that,
on average, absenteeism would be about 15 to 20 percent lower if all workers had a negligible
commute. For hourly-wage workers, arriving late or missing work days can reduce income, causing
additional problems for the family (Bashir & Ramay, 2010; van Ommeren & Gutierrez-i-Puigarnau,
2011).
Strategy 3: Seek Rental Assistance
Approximately 4.8 million households – about 4 percent of all U.S. households – receive assistance geared
toward either homeowners or renters from the U.S. Department of Housing and Urban Development. Yet
many more need assistance; only one-quarter of households eligible for federal rental housing assistance
actually receive it. There are 4,058 housing authorities across the country providing subsidized rentals, and
1,671 of those authorities have waiting lists. A 2012 survey reported that 2.8 million families nationwide were
on waiting lists for Housing Choice Vouchers (HCV, formerly known as Section 8 – federally subsidized
housing for very low-income families, the elderly, and the disabled), and more than 1.6 million were on
UNITED WAY ALICE REPORT – THE CONSEQUENCES OF INSUFFICIENT HOUSEHOLD INCOME
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