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BATON ROUGE – The number of people with disabilities in Louisiana who struggle to afford the basics is far higher than federal poverty data indicates — 60% compared to 24% — according to a new report from Louisiana Association of United Ways and its research partner United For ALICE.

In 2019, while 24.4% of residents with disabilities were deemed in poverty, 35.1% — more than twice as many — were ALICE (Asset Limited, Income Constrained, Employed). ALICE households earn more than the Federal Poverty Level but less than what it costs to live and work in the modern economy. Combined, 60% of Louisiana’s residents living with disabilities were below the ALICE Threshold, with income that doesn’t meet the basic costs of housing, child care, health care, transportation and a smartphone plan.

“On the 32^nd anniversary of the Americans with Disabilities Act, we see that residents with physical, mental or emotional conditions who are struggling financially are not only being undercounted but underserved,” said United For ALICE National Director Stephanie Hoopes, Ph.D. “There is still work to do as having a disability puts individuals at substantial risk for financial instability, more than many other factors. Daily, and even more so during the COVID-19 pandemic, these individuals face barriers to accessing a quality education, secure jobs and critical supports.”

The ALICE in Focus: People With Disabilities report and interactive tools reveal that during the pandemic, people with disabilities below the ALICE Threshold were four times more likely to be anxious than those without disabilities.

The new research also shows that outdated federal guidelines prevent the majority of residents with disabilities who are living in financial hardship from accessing critical public assistance. According to the new report, a staggering 82% of residents with disabilities below the ALICE Threshold did not receive Supplemental Security Income (SSI). The program requires that recipients have income below the poverty level, be unable to work, have a “severe” impairment and have less than $2,000 in their bank accounts, $3,000 if they are a married couple.

“Income eligibility requirements for SSI haven’t been updated in nearly four decades, which is one of the big reasons why more than 348,000 residents were shut out of receiving a much-needed financial lifeline,” said George Bell, president and CEO of Capital Area United Way. “By using data that takes into account the true cost of living — we can establish critical supports that help those who need it the most. Capital Area United Way relies on this data to help with decision making for grants and partnerships.”

Capital Area United Way recently launched a project grant process prioritizing the ALICE population. Eligible non-profit organizations, including those serving persons with disabilities in the ALICE population, are encouraged to apply through August 12^th. To download the RFP, visit www.cauw.org/funding-opportunities. Questions may be directed to Vice President of Community Impact, Edy Addison at edya@cauw.org.

 

Other findings from ALICE in Focus: People With Disabilities include:

• Black and Hispanic residents with disabilities — 75% and 54% respectively —disproportionately experienced financial hardship compared to 52% of white people with disabilities.
• Females with disabilities struggled more to afford the basics — 62% — compared to 56% of males with disabilities.
• Louisiana saw 29% of residents with disabilities below the ALICE Threshold spend 35% or more of their income on their mortgage, plus utilities, taxes and insurance.
• Whether working full or part time, people with disabilities were more likely to be living paycheck to paycheck than those without disabilities: 37% of full-time workers with disabilities were below the ALICE Threshold compared to 26% of full-time workers without disabilities.

 

It should also be pointed out that rates of hardship are likely even higher than could be counted as data is not available for individuals living in nursing homes, correctional facilities and other group settings.

ALICE in Focus: People With Disabilities marks the second installment in the ALICE in Focus Research Series, which draws from the U.S. Census Bureau’s American Community Survey (ACS) Public Use Microdata Samples (PUMS). Each installment in the series highlights a specific segment within the ALICE demographic. The first installment focused on children; the next report will feature veterans.

Visit www.cauw.org/aliceinfocus for more information about Louisiana’s ALICE in Focus: People with Disabilities. More data is available through the ALICE in Focus: People With Disabilities interactive data dashboard, which provides filters for regional and local geographies, age, race, disability status, living arrangements and household work status. Visit UnitedForALICE.org/Focus-Disabilities.

The ALICE Reports for Louisiana are made possible by the generous corporate support from Entergy Louisiana. As the lead Louisiana sponsor and as a National ALICE Advisory Council member, Entergy supports ALICE research in our state and around the nation.