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The Consequences of Insufficient Household Income

This new Consequences of Insufficient Household Income report provides a deeper level of understanding of the choices that ALICE and poverty-level families across the country make when they do not have enough income or assistance to afford basic necessities, and the consequences of those choices.

WHAT ARE THE

WHAT ARE THE CONSEQUENCES? RISKS AND COSTS FOR ALICE... TRANSPORTATION – Unreliable Vehicles and Ongoing Repair Costs – No Funds for Insurance, Registration, or Traffic Fines – Higher Housing Costs Near Public Transportation CHILD CARE AND EDUCATION – Risks to Child Safety and Kindergarten Readiness – Pay More for Child Care and Forgo Other Essentials – Parents’ Reduced Work Schedules – Moving Costs to Locate Near Strong Public Schools – Drop Out of High School to Look for Work – Forgo or Don’t Complete College – Take on Student Loan Debt FOOD – Risk of Food Insecurity – Risk of Poorer Health – Forgo Other Essentials to Pay for Food HEALTH CARE – Poorer Overall Health, Including Suffering Preventable Illness Due to Lack of Regular Care – Financial Penalty for Not Having Insurance – Increased Family Caregiving, Reduced Time for Work and Other Activities HOUSING TAXES – Penalties and Interest on Unpaid Taxes – Credit Rating Suffers – Pay More for Housing Than the Family Budget Allows – Travel Farther to Get to Work and Amenities (Grocery Stores, Doctors’ Offices) – Higher Crime Rates in Neighborhoods With Substandard Housing – Higher Maintenance Costs for Substandard Housing – Sacrifice a Home to Foreclosure

...AND FOR ALL FAMILIES IMPACT ON THE COMMUNITY Because ALICE workers are an integral part of our economy, we all suffer when the important services they provide are delayed or reduced. Because ALICE neighbors, friends, and family members are an integral part of our towns and neighborhoods, we all suffer when they are ill, stressed, or overwhelmed. COMMUNITIES FEEL THIS IN: – Greater Pressure on Health Care and Social Services – Increased Need for Educational Remediation and Training – Lost Work Productivity, Increased Burden for Coworkers, and Reduced Customer Service – Less Engaged and Skilled Workforce, Reduced Economic Growth – Reduced Participation in Neighborhood and Community Activities

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