Report finds more than a third of CA households are struggling to make ends meet

Report finds more than a third of CA households are struggling to make ends meet A new report from the United Ways of California shows that 35% of households across the state -- more than 3.8 million -- don't earn enough to cover basic living expenses. A new report from the United Ways of California shows that 35% of households across the state -- more than 3.8 million -- don't earn enough to cover basic living expenses. A new report from the United Ways of California shows that 35% of households across the state -- more than 3.8 million -- don't earn enough to cover basic living expenses. A new report from the United Ways of California shows that 35% of households across the state -- more than 3.8 million -- don't earn enough to cover basic living expenses. LOS ANGELES, Calif. (KABC) -- A new report from the United Ways of California shows that 35% of households across the state -- more than 3.8 million -- don't earn enough to cover basic living expenses. The report, called Breaking Barriers, Building Opportunity: The Real Cost Measure in California 2025, analyzes households in all 58 counties and calculates what it actually costs to get by in California. It factors in the price of housing, child care, transportation, health care, taxes, and food -- offering a broader view than federal poverty guidelines. "If families get hit with anything -- a car repair, a medical emergency, a rent increase -- it can tip them into homelessness," said Elise Buik, CEO of United Way of Greater Los Angeles. Online Interactive maps show where the burden is heaviest from a county-by-county to neighborhood cluster snapshots. It also calculates what a typical family needs to earn to make ends meet. For a household with two adults, a preschooler, and a school-age child, the annual income needed often far exceeds what many jobs pay. Ivonne Sonato-Vegas, a mother of five, said child care alone would have stretched her family to its breaking point had her parents not stepped in, not to mention health care. "I have to work full time to get health benefits for my family," she said. "We don't qualify for Medi-Cal, and private insurance would cost between $600 to $1,200 a month for a family of seven." The Real Cost Measure is based on data from October 2023, meaning it does not reflect the full impact of rising interest rates and inflation since then. "Things are going to get worse for working families," said Pete Manzo, CEO of United Ways of California. "Sources of public assistance are shrinking." United Ways of California is urging state lawmakers to consider policies that ease pressure on working families, such as child tax credits and affordable housing incentives. As economic pressures mount, food banks are seeing the consequences play out every day. "We are seeing a lot of our monthly donors let us know that they just can't afford to contribute the way that they used to, or that they will be back at a later time when they feel they have a grip on what's going on," said Carolyn Fajardo, CEO of Feeding America. At Feeding America in Riverside, demand has been on the rise since the COVID-19 pandemic began in 2020. "The biggest challenge that we have seen is less support, less donations coming in, less attention and awareness on what is actually occurring," Fajardo said. "The need is as high as ever, and the cost to achieve our mission is higher than ever."