ALICE (Asset Limited, Income Constrained, Employed) consists of households earning above the Federal Poverty Level yet struggling to afford basic expenses.
These households:
- Span all races, ages, ethnicities, and abilities, though households of color are disproportionately ALICE
- Include workers whose wages cannot keep up with the rising cost of goods and services
- Often include those who are working two or more jobs and still cannot pay their bills
- Include family members who need care and assistance, which makes it harder for their caregivers to find adequate work
- Live paycheck to paycheck and are forced to make impossible choices: pay the rent or buy food, receive medical care or pay for child care, pay utility bills or put gas in the car
- Are part of every community nationwide
The Consumer Price Index (CPI) is used to calculate increases for many public benefits in Michigan. But since it doesn’t keep up with the cost of household basics, those benefits purchase less each year. This is especially true for programs that matter most to ALICE, and those in poverty, including:
- Social Security
- Veterans’ pensions
- SNAP
- Medicaid
ALICE workers are the engine that keeps our economy running. We all know and need ALICE–so when ALICE can’t pay the bills, we all pay the price.
To learn more about the ALICE Essentials Index, which is a more accurate measure of inflation for households in hardship, visit United4ALICE/ALICEIndex.
