New ALICE research zeroes in on households living paycheck to paycheck, yet often with income that’s too high for assistance
In 2023, 27% of workers in Ohio’s 20 most common jobs lived in households that could not afford basics, according to new data from United Way Services of Geauga County and its research partner United for ALICE. These workers are the backbone of every community and include delivery drivers, fast food and counter workers, registered nurses, and teachers.
The State of ALICE in Ohio reveals that traditional measures of poverty have severely undercounted the number of households countywide living in financial hardship, with Geauga County being no exception. While 6% of all households in the county lived in poverty in 2023, the new research shows that an additional 22% were part of the ALICE population (Asset Limited, Income Constrained, Employed). Combined, 28% of the county’s households fell below the ALICE Threshold of Financial Survival in 2023, an almost 8% increase since 2019.
ALICE households bring in less than the basic costs of housing, childcare, food, transportation, health care, and technology, plus taxes. Yet because their income is above the Federal Poverty Level, they often don’t qualify for assistance.
How we are helping the ALICE population in Geauga County
United Way Services of Geauga County works with several community partners to support programs that address the needs of the ALICE population, including:
- Geauga Poverty Collaborative, a group of case managers from seven social service agencies that provide up to $1,000 in one-time assistance for unexpected expenses like car repairs or rent. In 2024, the collaborative assisted 63 families, helping them avoid costly payday loans, lost wages, and eviction.
- Geauga County Aging and Disability Resource Center, which provides benefits counseling and long-term planning for adults over 60, people living with disabilities, and their families. In 2024, the center connected more than 1,332 people with support services, helped 125 people with utility and rent assistance, and delivered almost 600 meals to residents under the age of 60 living with a disability.
- Bridges@Work, which provides employees with resources and services to help them maintain employment and succeed at work. In 2024, the program provided 465 employees with resource coordination services and 230 workers with financial wellness workshops.
Ohio legislators have also shown support for the ALICE population by allocating funding for programs and initiatives that have increased access to health and behavioral health services for children and families, higher education scholarships, workforce upskilling and readiness programs, and childcare assistance.
United Way of Greater Cleveland continues to join United Ways across the state advocating for additional support, including:
- Reinstating the $1,000 child tax credit
- Offering publicly funded childcare for families making up to 200% of the federal poverty level
- Allocating funding to Ohio 211 to ensure statewide access
The widening gap between wages and expenses
The struggle for ALICE families comes from the gap between wages and expenses. In 2023, a family of four with two children in childcare in Geauga County needed $89,880 just to cover the essentials – almost three times the Federal Poverty Level of $30,000. Yet even with both parents working full time in two of the most common jobs – retail and manufacturing – this family’s combined income still fell short of the cost of basics by more than $35,600.
The State of ALICE in Ohio also reveals that in 2023:
- Some groups face financial hardship at disproportionate rates, with 53% of the youngest (under 25 years) and 39% of the oldest (65 and over) households falling below the ALICE threshold in Geauga County, compared with 19% of households headed by someone ages 45 to 64.
- Rates of financial hardship differ substantially by race/ethnicity in Ohio due to persistent barriers that limit many families’ access to resources and opportunities for financial stability. In Geauga County, 54% of Black households were below the ALICE Threshold.
- Full- and part-time workers paid by the hour, who are more likely to have fluctuations in income and less likely to receive benefits, make up 40% of the workforce in the county.
- Four of the five most common jobs in the county paid less than $17 an hour. That is roughly $34,000 a year if working full time.
- Childcare continues to be the biggest expense at $1,917 per month for a family with two children in childcare.
- The ALICE population is 25% or higher in 14 of the 19 Geauga County municipalities in the report.
Households below the ALICE Threshold play a vital role in the community as neighbors, family members, and civic participants. They also contribute to the economy as workers, consumers, and taxpayers. However, the research continues to show a clear trend that financial hardship is widespread and not going away. Collaborative efforts at the local, state, and federal levels will be needed to change the trajectory of ALICE households.
The Cost of Basics Outpace Wages
To capture the reality of household costs across Ohio, United For ALICE provides household budgets that are tailored by location and household type.
The Household Survival Budget reflects the minimum cost to live and work in today’s economy and includes housing, childcare, food, transportation, health care, and technology, plus taxes and a 10% miscellaneous category. This budget is the basis for determining whether households are above or below the ALICE Threshold by county.
To learn more about the ALICE population in Geauga County, and access interactive dashboards that provide data on financial hardship at the state, county, and local levels, visit unitedforalice.org/state-overview/ohio
