Research zeroes in on households living paycheck to paycheck, pricing out of survival.
York, PA - The cost of household necessities in Pennsylvania rose faster than inflation for more than 15 years, leaving many households vulnerable to the growing affordability crisis, according to new data from United For ALICE, in partnership with United Way of York County.
The latest State of ALICE report for Pennsylvania includes data from the ALICE Essentials Index, which tracks the rising costs of only six basics families need to live and work: housing, food, transportation, health care, and technology. Due to these rising costs, poverty has risen for the first time in 5 years in York County, which now totals 10% of the population.
The report further highlights the growing financial strains on the demographic known as ALICE® (Asset Limited, Income Constrained, Employed). With income above the Federal Poverty Level but unable to afford basic expenses, almost 47,000 York County households were ALICE in 2024. When combined with households in poverty, 35% of all households in York County fell below the ALICE Threshold of Financial Survival.
"Behind these numbers are families making impossible choices every day - between groceries and utilities, childcare and rent," said Laura O'Grady, Vice President of Impact and Strategy, United Way of York County. "The ALICE data helps guide our work with partners across York County, so we can respond to immediate needs and help build stronger paths to stability."
The crux of the struggle for ALICE families is the gap between wages and expenses. In 2024, a family of four in York County needed $72,000 just to cover the essentials - almost three times the Federal Poverty Level of $31,200.
The State of ALICE in Pennsylvania also reveals that in 2024:
- Pennsylvania ranked 22nd in financial hardship among all 50 states plus the District of Columbia.
- ALICE households were found in every major industry statewide, with the highest levels of hardship in health care (15%), food service and accommodation (24%), and retail trade (20%).
- Unlike workers in many other states, minimum-wage workers in Pennsylvania did not see an increase in wages in 2024. The state minimum wage remained the same as the federal ($7.25 per hour), unchanged since 2009.
"The ALICE research shows that the affordability crisis is not new," said Stephanie Hoopes, Ph.D., National Director at United For ALICE. "Already stretched then, ALICE families have no cushion for rising gas or utility costs - forcing tough tradeoffs with other necessities. That's the insight policymakers and community leaders need to build a stronger future for ALICE and all."
To see how United Way of York County is assisting ALICE households on their journey toward financial stability, and to be part of the solution, visit www.unitedway-york.org/meet-alice.
About United Way of York County
For 100 years, United Way of York County has worked in the York County community to improve people's lives. It began as The York Welfare Federation, an organization that raised funds on behalf of 17 member agencies. Today, as United Way of York County, the mission remains the same, but the strategies have evolved in order to meet the growing and changing needs of people living in our York community.
In 2022, United Way of York County announced a three-year plan to transform its community impact to an issue-focused model, concentrating future efforts on the issue of working households struggling to cover basic living expenses. Approximately one in four York County households earn more than the federal poverty level but do not earn enough to pay for basic needs. United Way of York County's goal is to help bridge the gap for thousands of financially struggling, working families through short-term support while also building pathways to self-sufficiency. United Way of York County’s goal is to assist hardworking households on their journey toward financial stability.
About United for ALICE
United For ALICE is a U.S. research organization driving innovation, research and action to improve life across the country for ALICE® (Asset Limited, Income Constrained, Employed) and for all. Through the development of the ALICE measurements, a comprehensive, unbiased picture of financial hardship has emerged. Harnessing this data and research on the mismatch between low-paying jobs and the cost of survival, ALICE partners convene, advocate and collaborate on solutions that promote financial stability at local, state and national levels. This grassroots ALICE movement, led by United Way of Northern New Jersey, has spread to 41 states and the District of Columbia and includes United Ways, corporations, nonprofits and foundations in Alabama, Alaska, Arkansas, Colorado, Connecticut, Delaware, Florida, Georgia, Hawai‘i, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Michigan, Minnesota, Mississippi, Missouri, Nebraska, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Virginia, Washington, Washington, D.C., West Virginia and Wisconsin; we are United For ALICE. For more information, visit: UnitedForALICE.org.