Research zeroes in on households living paycheck to paycheck, priced out of survival
VIRGINIA – The cost of household necessities in Virginia 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 Virginia. The latest State of ALICE report for Virginia includes data from the ALICE Essentials Index, which tracks the rising costs of six basics families need to live and work: housing, child care, food, transportation, health care and technology. Between 2007 and 2024, the ALICE Essentials Index for Virginia increased 77%, compared with 52% for the broader Consumer Price Index (CPI), which reports inflation across more than 200 categories of goods and services.
The report 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, 935,739 Virginia households were ALICE in 2024. When combined with households in poverty, 38% of all households in Virginia fell below the ALICE
Threshold of Financial Survival.
“Behind these numbers are families making impossible choices every day — between groceries and utilities, child care and rent,” said United Way of Virginia Executive Director, Sarah Walsh. “The ALICE data helps guide our work with partners across Virginia, 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 Virginia needed $98,292 just to cover the essentials — more than three times the Federal Poverty Level of $31,200. Yet even with both parents working full time in two of the state’s most common jobs — a cook and a teller — this family’s combined income still fell short of the cost of basics by $32,300.
The State of ALICE in Virginia also reveals that in 2024:
● Virginia ranked 18th
in financial hardship among all 50 states plus D.C.
● ALICE households were found in every major industry statewide, with the highest levels
of hardship in food service and accommodation (41%), and retail trade (33%).
● The number of ALICE households has held steady since 2010.
● Minimum-wage workers in Virginia saw no increase to their hourly pay of $12.00. That
wage was not enough to support the ALICE Household Survival Budget in Virginia.
“The ALICE research shows that the affordability crisis is not new,” said Stephanie Hoopes,
Ph.D., National Director at United For ALICE. “Already stretched thin, 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.”
More state and local data is available through the interactive dashboards on
UnitedForALICE.org/Virginia
About United Way of Virginia
United Way of Virginia is the state association for local United Ways in Virginia.
United Ways in Virginia are committed to improving lives by mobilizing the caring power of
communities to advance the common good in the areas of youth opportunity, healthy
community, financial security, and community resiliency.
By uniting local United Ways, community partners, and dedicated supporters, we create
meaningful, lasting change in the lives of individuals and families. Through a focus on
education, financial stability, and health, we invest in programs that break down barriers,
address root causes, and create opportunities for everyone to thrive. We don’t just respond to
immediate needs – we tackle systemic challenges that drive long-term impact. Every day, we
work toward a future where everyone has the opportunity to succeed.
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.