state-of-alice-report-louisiana-2026

THE STATE OF ALICE IN LOUISIANA

INTRODUCING ALICE ®

WHO ARE ALICE HOUSEHOLDS?

In 2024, based on the Federal Poverty Level (FPL), 19% of Louisiana households were defined as being in poverty. Yet this measure did not account for an additional 30% of the state’s households that were also in financial hardship. These households are sset imited, ncome onstrained, mployed — earning above the FPL, but not enough to afford basic expenses in the parish where they live.

ALICE: A L I C

Combining ALICE households plus those living in poverty, (Figure 1). This rate was higher than the (41%) and placed Louisiana 51 among all states and the District of Columbia (with 1 representing the lowest rate of hardship).

Households below the ALICE Threshold don’t have enough income to afford their basic needs.

Figure 1. Forty-Nine Percent of Louisiana Households Faced Financial Hardship in 2024

Total State Households: 1,836,752

Sources: ALICE Threshold, 2010–2024; U.S. Census Bureau, American Community Survey, 2024

an estimated 49% of households in Louisiana were below the ALICE Threshold in 2024 national average st st They are forced to make impossible choices, like deciding whether to pay for utilities or a tank of gas; whether to buy food or fill a prescription; whether to live close to work and pay more for housing or opt for a longer, more costly commute. And they are less likely to have the resources to cover unexpected household expenses (like an unforeseen car repair or a costly medical bill), or to recover from crises, both widespread (like a natural disaster or public health emergency) and personal (like the loss of a job or family member).

There are households below the ALICE Threshold across demographic groups, living in every state and county/parish in the U.S.

These households play a vital role in their communities as neighbors, family members, and civic participants, and they contribute to their local economies as workers, consumers, and taxpayers. Workers in households below the ALICE Threshold perform the jobs that keep our economy functioning smoothly — they are child care providers, food service workers, cashiers, personal care aides, delivery drivers, and more. Yet their own households struggle to afford basics.

There is no single cause — or solution — because all households are unique and the reasons that households face financial hardship are complex and interrelated.

Targeted interventions can temporarily help ease challenges like food insecurity or housing cost burden, but improving overall financial stability for the long term requires more comprehensive strategies. Coordinated action is needed across multiple levels — including household supports, community infrastructure, employer practices, and public policy — to address the upstream conditions that contribute to persistent hardship for ALICE households in the state and across the nation.

GETTING AN ACCURATE COUNT: THE ALICE MEASURES

The Federal Poverty Level (FPL) is obsolete.

It does not consider the wide variation in cost of living by location (except for a slightly higher state-level FPL for Alaska and Hawai‘i), nor has its methodology been updated since it was , despite changing economic conditions. As a result, the official poverty rate sharply underestimates the true extent of financial hardship in the U.S. And because the FPL, or multiples of the FPL, define eligibility for many types of public assistance, ALICE households often do not qualify. In 2024, the FPL was $15,060 for a single adult and $31,200 for a family of four.

Figure 2. Household Survival Budget Costs Exceeded Wages of Common Jobs and the FPL Family of Four, Louisiana, 2024

formulated in the 1960s

United For ALICE

The ALICE measures, developed by , present a more comprehensive picture of financial hardship by including ALICE households — those with income above the FPL, but below the cost of basics.

The two pillars of the ALICE measures are household costs and income.

The ALICE Household Survival Budget

estimates the cost of household basics — housing, child care, food, transportation, health care, and technology, plus taxes — for each parish in Louisiana, derived from a range of . This is a minimal budget, with no room for emergency expenses, debt payments, or saving for the future. Change over time in the cost of household basics is tracked in the

Note: Cooks season and prepare foods in restaurants and other establishments. Tellers process routine transactions, such as cashing checks and depositing money, at a bank or credit union.

Sources: ALICE Household Survival Budget, 2024; Bureau of Labor Statistics— Occupational Employment Statistics, 2024; U.S. Census Bureau, Federal Poverty Measure, 2024

publicly available data sources ALICE Essentials Index

American Community Survey Public Use Microdata Sample below the ALICE Threshold The ALICE Threshold is a more comprehensive measure of financial hardship than the FPL.

For household income, ALICE measures rely on the U.S. Census Bureau’s (ACS) — both household tabulated data and individual data from the (PUMS) records. Households with income below the Household Survival Budget for their household type and parish are — including both households in poverty and ALICE households. It relies on income, household type, and local cost of living to estimate how many households are not earning enough to cover the basics.

The core issue is the gap between household income and what families need to make ends meet. This makes it impossible for many households to attain financial stability, no matter how hard they work. Figure 2 shows the mismatch between costs, wages, and the FPL in 2024. First, it includes ALICE Household Survival Budget costs for a Louisiana family with two adults, an infant, and a preschooler (totaling $81,912 annually). Second, it shows the household’s combined full-time earnings with one adult in the household working as a cook and the other working as a teller — two common occupations in the state — totaling $57,870 annually. Finally, the FPL for a family of four is shown ($31,200, the same amount for all contiguous U.S. states).

Data Notes: income data degree of

uncertainty Data Sheet

The data included in this Report spans 2010 to 2024 (latest available). This data does not reflect the impact of policy or funding changes that have occurred since 2024, yet it provides an important baseline and context to inform current conversations and decision making. The used in this Report relies on ACS estimates. The ACS is based on a representative sample of housing units and people; therefore, these estimates have a . Some data points are geographic averages; others are one- or five-year averages depending on population size (these are reported in the ). Percentages are rounded to whole numbers, sometimes resulting in percentages totaling 99% or 101%.

ALICE Threshold analysis includes all households regardless of work status, as employment is fluid and most households have members who are working, have worked, are out on disability, or are looking for work.

This analysis includes families and roommates but does not include people who are unhoused or living in group quarters (such as college residence halls, skilled nursing facilities, and military barracks). State-level population totals are a summation of county-level estimates.

Federal Reserve Board’s Survey of Household Economics and Decisionmaking

To provide additional details on household assets, this Report also includes analysis of the (SHED) (2024).

KEY FINDINGS: LOUISIANA, 2024

Financial hardship:

Of Louisiana’s 1,836,752 households, 19% (344,381) were below the FPL, and another 30% (548,775) were ALICE — households with income above the FPL, but not enough to afford the ALICE Household Survival Budget for their household composition and location. Combining these two groups, 49% (893,156) of households were below the ALICE Threshold. Despite some ups and downs, the number of ALICE households in Louisiana trended upward overall between 2010 and 2024, as did the number of households in poverty. More recently (between 2022 and 2024), the number of ALICE households declined slightly while the number in poverty held flat.

The cost of basics:

In Louisiana, the ALICE Household Survival Budget was $30,708 for a single adult and $81,912 for a family of four with two adults, an infant, and a preschooler — much higher than the FPL ($15,060 for a single adult and $31,200 for a family of four). Basic costs varied substantially by parish. The annual Household Survival Budget costs for a single adult were highest in East Baton Rouge Parish and lowest in Franklin Parish. For a family of four, costs were highest in Orleans Parish and lowest in Franklin Parish.

ALICE demographics:

DEFINITIONS

ALICE:

Asset Limited, Income

Constrained, Employed — households with income above the Federal Poverty Level (FPL) but less than the basic cost of living in their county/parish

ALICE Household Survival Budget:

Reflects the minimum costs of household necessities (housing, child care, food, transportation, health care, and technology) plus taxes, adjusted for all U.S. counties/parishes and various household compositions

ALICE Threshold:

Derived from the Household Survival Budget, the minimum average income that a household needs to afford basic costs, calculated for all U.S. counties/parishes

Below ALICE Threshold:

Includes households in poverty and ALICE households combined

There were households below the ALICE Threshold across all Census-reported demographic groups in Louisiana. And as in every state, some populations experienced higher levels of financial hardship. This reflects both longstanding and ongoing policies and discriminatory practices in areas of work, housing, education, and access to community resources that limit financial stability for many families. In 2024, the groups with the highest percentage of households below the Threshold included Black households (65%) and Hispanic households (50%); households headed by people under age 25 (72%) and age 65 and over (55%); single-parent-headed households (82% singlefemale-headed, 57% single-male-headed); and households in rural areas (57%). In Louisiana, there was also a notable increase over time (2010–2024) in the total number of households headed by someone age 65+, as well as the number of age 65+ households living below the ALICE Threshold.

ALICE in the labor force:

Of the 10 largest industry sectors (by total workers), financial hardship was highest in Accommodation and Food Services, with 52% of workers living in households below the ALICE Threshold. By occupation, rates of financial hardship were as high as 74% for Personal Care Aides and 66% for Cooks, two of the most common occupations in the state.

MEET ALICE: LOIS' STORY

Lois is a loving mother for whom financial trade-offs are a constant reality. As a member of the ALICE Community Advisory Committee, she helps shine a light on the experiences of ALICE households nationwide.

BASIC COSTS: THE ALICE HOUSEHOLD SURVIVAL BUDGET

To capture the reality of household costs across Louisiana,

the ALICE Household Survival Budget is calculated for all parishes and various household compositions

Federal Reserve Board’s Survey of Household Economics and Decisionmaking (SHED) includes

. This budget reflects the minimum cost to live and work in today’s economy (Figure 3). It includes just the basics needed to get by. Not included are things that many families take for granted — eating out, children’s birthday presents, new clothes, or updated appliances. And notably, this budget doesn’t include savings needed to cover unexpected costs, invest, or put toward goals like education, homeownership, or retirement. According to the , in the West South Central Census Division (which Louisiana) only 26% of respondents below the ALICE Threshold reported having emergency savings that could cover three months of expenses, and only 34% had retirement assets in 2024. In comparison, 64% of respondents above the Threshold had emergency savings and 81% had retirement assets.

Because the Household Survival Budget reflects the bare-minimum cost of household basics, many families actually pay more for some expenses, forcing them to cut back or sacrifice somewhere else. This leaves families with impossible choices and tradeoffs and the stress of constantly navigating insufficient funds, on top of working and other household responsibilities.

Housing costs are especially challenging. As rental and homeowner costs increase faster than wages, . In Louisiana in 2024: households below the ALICE Threshold face substantial housing cost burden

● 64% of all renter households below the Threshold were rent burdened (paying 30% or more of their income on rent and utilities). This included 26% of renter households who paid 30%–49% of their income on rent and utilities, and 38% whose rent costs totaled half of their income or more.

● 45% of homeowner households below the Threshold were housing cost burdened (paying 30% or more of their income on homeowner costs, including mortgage payments, utilities, property taxes, and homeowner’s insurance).

CUSTOM BUDGETS AT YOUR FINGERTIPS

See the for custom budgets by household composition and location. ALICE Budget and Income Status Tool

Transportation

Health Care

Operating costs for a car (average daily miles by age, cost per mile, license, fees, and insurance), or public transportation where viable

Sources:

AAA, Federal Highway Administration, National Association of Insurance Commissioners (NAIC) (car); Consumer Expenditure Survey (CEX) (public transportation)

Health insurance premiums based on employer-sponsored plans plus out-of-pocket costs for households with $40,000–$69,999 annual income by age, weighted with the poor health multiplier. For the ALICE 65+ Survival Budget, cost of Medicare Parts A and B, out-of-pocket costs, plus average out-of-pocket spending for the top five chronic diseases as reported by CMS.

Sources:

Centers for Medicare & Medicaid Services (CMS); CEX (health); Medical Expenditure Panel Survey (MEPS)

Technology

Basic broadband internet at home and a smartphone plan with unlimited data for each adult in a household using average cost of three top major providers (AT&T, Verizon, and T-Mobile) and three top basic (lower-cost) wireless providers (Visible, U.S. Mobile, and Consumer Cellular)

Sources:

Consumer Reports; Federal Communications Commission (FCC)

Cost overruns estimated at 10% of the budget, excluding taxes, to cover one-time unanticipated costs within the other categories

Federal payroll taxes (Social Security and Medicare) and federal, state, and local income taxes owed on household income to cover the Survival Budget, as well as the federal and state Child Tax Credit and Child and Dependent Care Tax Credit

Sources:

Internal Revenue Service; Tax Foundation; calculated for United For ALICE by the Federal Reserve Bank of Atlanta (FRBA)

*Represents the earnings needed at 40 hours per week, 50 weeks per year to support the annual total, including taxes.

THE EARNED INCOME TAX CREDIT (EITC)

The EITC is a refundable federal tax credit that supports low- to moderate-income workers. Eligibility varies based on income and family composition. Families with children are eligible for the largest credit: In 2024, the with three or more qualifying children was $7,830, compared to $632 for workers age 25 to 64 without children.

maximum credit for eligible families

For tax year 2024, for federal EITC ranged from $18,591 for an individual with no qualifying children to $66,819 for a married couple with three or more children. The EITC is an effective anti-poverty program for many working families, lifting nearly above the poverty line in 2024 (based on the ). However, not all ALICE households can benefit. For example, in 2024, 61% of single households and 81% of married-parent households with two children in Louisiana had income above the federal EITC eligibility cut-off, but below the ALICE Threshold — too much to qualify for the tax credit, but not enough to make ends meet. income eligibility

4.4 million people Supplemental Poverty Measure

supplemental state EITC

In addition to federal EITC, 30 states and the District of Columbia — including Louisiana — have implemented a Eligibility for state credits typically mirrors the federal EITC qualifications, although not all state credits are refundable. Louisiana state EITC is refundable, at 5% of the federal credit.

improved educational outcomes and future employment better selfreported health status 20% of eligible taxpayers in the U.S. Barriers to participation promote the EITC

Benefits of receiving the EITC are far-reaching, with strong links to and among children raised in recipient households. Despite these benefits, approximately do not claim the EITC. include not earning enough to file a tax return, lack of awareness, complex rules, administrative burden, language barriers, and distrust of government. States can help by educating the public about the availability of the credits and targeting outreach to families already enrolled in programs such as SNAP and Medicaid; through Volunteer Income Tax Assistance (VITA) programs; by prefilling and sending tax forms to eligible families; and by requiring employers to share information about the EITC with their employees.

COSTS OVER TIME: THE ALICE ESSENTIALS INDEX

Inflation is a key indicator of the health of the economy. When prices increase faster than wages and other sources of income, purchasing power decreases and households struggle to make ends meet.

ALICE Essentials

Index

The measures change over time in the cost of the household essentials that matter most to ALICE and poverty-level households: housing, child care, food, transportation, health care, and basic technology. The standard measure of inflation in the U.S., the Bureau of Labor Statistics' Consumer Price Index (CPI), tracks a much larger basket of — including items that financially insecure households can’t afford on a regular basis, like full-service meals at restaurants, wine, major appliances, travel, and jewelry. Tracking costs over time using the CPI alone can conceal important changes in the costs of household essentials.

over 200 categories of goods and services

Nationally, the ALICE Essentials Index has outpaced the broader CPI since 2007. Costs for both measures increased at a faster pace following the pandemic. Between 2021 and 2024, the ALICE Essentials Index increased at an annual rate of 5.6% compared to 5.0% for CPI — both much faster than the annual rates from 2007 to 2019 (2.7% annual increase for the ALICE Essentials Index and 1.8% for CPI).

In Louisiana, the ALICE Essentials Index also increased faster than the national CPI, as shown in Figure 4. And like the national trend, essential costs in Louisiana increased at a faster rate following the pandemic (4.7% annual increase in the ALICE Essentials Index from 2021 to 2024, compared to 2.5% between 2007 and 2019).

Figure 4. The Cost of Basics is Increasing Faster Than Overall Inflation

Inflation Indices, Louisiana and U.S., 2007–2026

Note: Inflation index scores provide a way to summarize complex data and track changes in costs over time using a numeric scale. The baseline for CPI was set at 100 in 1982. Compared to that baseline, CPI reached 207 in 2007, meaning that prices were 107% higher than in 1982. To compare the ALICE Essentials Index to CPI, the ALICE Essentials Index is set to the 2007 CPI value of 207. With this standardization, Figure 4 shows how the change in these two measures compares over time. In the text, keeping with convention, we report the percent change in each index from one year to another. The ALICE Essentials Index rates for 2025 and 2026 are projections. CPI 2026 is preliminary (based on data through February 2026).

Sources: ALICE Essentials Index, 2007–2026; Bureau of Labor Statistics, 2007–2026—CPI

ALICE DEMOGRAPHIC TRENDS

There are households below the ALICE Threshold across Louisiana, and they reflect a wide range of demographics and household types. In Louisiana, rates of financial hardship differed substantially across demographic groups.

Trends for ALICE and poverty-level households

: Between 2010 and 2024, the total number of households in Louisiana increased from 1,685,303 to 1,836,752. During this period, despite some ups and downs, the number of ALICE households in Louisiana trended upward, as did the number of households in poverty. More recently (between 2022 and 2024), the number of ALICE households declined slightly while the number in poverty remained flat (Figure 5).

Trends for households below the ALICE Threshold (ALICE + Poverty)

: The number of households below the ALICE Threshold has remained high over time (2010–2024), persisting through shifting economic conditions and the COVID–19 pandemic, and across political administrations. Between 2010 and 2024, the number of households below the Threshold in Louisiana increased from 769,808 to 893,156. During this period, the percentage of households below the Threshold in Louisiana ranged from a high of 51% to a low of 46% (Figure 5). Most recently, the share of financially insecure households remained largely unchanged (49% of all households below the Threshold in 2024, compared to 50% in 2023).

5. The Number of ALICE Households Decreased in Recent Years Yet Trended Upward Over Time

Number of Households by Income, Louisiana, 2010–2024

Note: Data years are comparable over time (methodology changes are backdated as necessary for continuity). However, year-to-year changes should be interpreted with caution; multiyear trends are more reliable. The gray dashed trend lines in this figure highlight the general direction of the point-in-time data for the years shown. These lines indicate whether the numbers of ALICE and poverty-level households have been generally increasing, decreasing, or remaining flat/no significant trend. The ALICE trend line is statistically significant at p<0.0026, and the Poverty trend line is statistically significant at p<0.0036.

Sources: ALICE Threshold, 2010–2024; U.S. Census Bureau, American Community Survey, 2010–2024

Households by age:

In 2024, the youngest and oldest households had the highest rates of financial hardship: 72% of households headed by someone below age 25 and 55% of households headed by someone age 65 and over lived below the ALICE Threshold in Louisiana. By comparison, rates were lower for those in their prime working years, with 45% of households headed by people age 25–44 and 44% of households headed by those age 45–64 living below the Threshold (Figure 6).

aging of the Baby Boomer generation

With the , households headed by people age 65 and over were the fastestgrowing age group in Louisiana (up 47% between 2010 and 2024). They were also the age group with the most substantial increase in the number of ALICE households.

Households by race/ethnicity education

: Rates of financial hardship differed substantially by race/ethnicity in Louisiana, often reflecting longstanding and ongoing policies and discriminatory practices that restrict access to quality , , , and other . In 2024:

work housing community resources

● The largest number of households below the ALICE Threshold were White (425,932), making up 40% of all White households.

● Black households were the next largest group below the Threshold (353,762), making up 65% of all Black households.

● There were 53,567 Hispanic households below the Threshold, making up 50% of all Hispanic households; and 50,537 households headed by someone of Two or More Races below the Threshold, making up 48% of all households of Two or More Races.

● Other, smaller groups also had high rates of hardship: 48% of both American Indian/Alaska Native households and Native Hawaiian/Pacific Islander households, and 41% of Asian households were below the Threshold.

Trends in the number of households below the ALICE Threshold by race/ethnicity varied from 2021 to 2024 (longest comparable time series). Among the three largest groups, the number of households below the ALICE Threshold decreased for Black households and White households, and increased for Hispanic households.

Households by member composition

: In 2024, 48% of single or cohabiting households without children headed by someone under age 65 — the most common household type — were below the ALICE Threshold in Louisiana. The total number of these households increased slightly between 2010 and 2024 (up 2%), and their number below the Threshold increased to a greater extent (up 12%).

Among families with children under age 18, there were disparities in financial hardship by household type: In 2024, 82% of single-female-headed families and 57% of single-male-headed families were below the ALICE Threshold, compared to 19% of married-parent families. In Louisiana from 2010 to 2024:

● The total number of married-parent households decreased (down 8%), while their number below the Threshold remained relatively unchanged.

● Both the total number of single-female-headed households and their number below the Threshold decreased (down 8% and 6%, respectively).

● Both the total number of single-male-headed households and their number below the Threshold increased notably (up 23% and 29%, respectively).

Households by location

: In 2024, the rate of financial hardship was higher as in the predominantly rural parishes of Louisiana, where 57% of all households were below the ALICE Threshold, compared to 47% in predominantly urban parishes.

By parish, the percentage of households below the Threshold was highest in Claiborne Parish at 74% and lowest in Ascension Parish at 30%. Hardship varied even within parishes: For example, in Orleans Parish, the percentage of households below the Threshold ranged from 72% in ZIP code 70112 (Iberville and Storyville neighborhoods of New Orleans) to 25% in ZIP code 70124 (Lakeview and City Park neighborhoods of New Orleans).

INTERACTIVE DEMOGRAPHIC AND GEOGRAPHIC DATA

ALICE data is available online by , , , , , , , and . See all available geographies and more on the race/ethnicity age of householder household type parish parish subdivision census designated place ZIP code legislative district ALICE Mapping Tool

Figure 6. Financial Hardship Varies Substantially

Key Demographic Groups, Louisiana, 2024

Note: This figure shows demographic groups included in the ACS tabulated dataset and reporting is limited to these categories. The groups shown in this figure are based on head of household and overlap across categories. Within the race/ethnicity category, all racial categories except Two or More Races are for one race alone. Race and ethnicity are overlapping categories; in this Report, the American Indian/Alaska Native, Asian, Black, Native Hawaiian (includes other Pacific Islanders), and Two or More Races groups may include Hispanic households. The White group includes only White, non-Hispanic households. The Hispanic group may include households of any race. Because household poverty data is not available for the American Community Survey’s race/ethnicity categories, annual income below $15,000 is used as a proxy. Parishes are defined as rural or urban based on the USDA’s designation of metropolitan or non-metropolitan at the census tract level. Parishes with 50% or more of the population in metropolitan tracts are designated as urban; those with 50% or more of the population in non-metropolitan tracts are designated as rural.

Sources: ALICE Threshold, 2024; U.S. Census Bureau, American Community Survey, 2024

ALICE IN THE LABOR FORCE

According to the Bureau of Labor Statistics, from 2010 to 2024, the number of workers in Louisiana grew from 1,832,830 to 1,911,530. Most recently, from January to December 2024, the state gained 59,670 workers. During the same period, the increased slightly — from 4.2% to 4.4%. These rates were slightly lower than the pre-pandemic rate (4.7% in January 2020).

unemployment rate

Louisiana workers face a range of ongoing challenges. The workplace continues to evolve with the incorporation of new technologies, including AI, and the shift to more precarious , such as many part-time jobs and hourly employment. These arrangements make it easier for employers to altogether when new technology is adopted, the economy ebbs, or financial priorities change. In addition, with the costs of basics increasing, many jobs in Louisiana do not pay enough to provide financial stability. In Louisiana in 2024: work arrangements reduce work hours or cut employment

● 47% of full-time workers did not earn enough to afford the ALICE Household Survival Budget for one adult and one school-age child.

● Unlike workers in many other states, minimum-wage workers in Louisiana 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.

● A wage of $20 per hour was not enough to support the ALICE Household Survival Budget for one adult and one school-age child in 100% of Louisiana parishes. (See the .) ALICE Wage Tool

Data on financial hardship among Louisiana workers shows variations in three cross-cutting areas: industry sector, occupation, and work arrangements.

Industry sector: industry sectors

There are workers below the ALICE Threshold across all in Louisiana. Among the 10 largest industry sectors, the percentage of workers living in households below the ALICE Threshold varied from 12% in Professional Scientific and Technical Services to 52% in Accommodation and Food Services (Figure 7).

Figure 7. Rates of Financial Hardship Vary by Industry Sector

Common

: Many common jobs exist across industry sectors — for example, Customer Service Representatives work in Health Care, Retail Trade, and other fields — so it is also important to look at financial hardship by occupation. In 2024, 37% of workers in the 20 most common occupations in Louisiana were in households below the ALICE Threshold. Occupations with a substantial share of workers in households below the Threshold included Personal Care Aides (74%), Cooks (66%), and Laborers and Freight, Stock, and Material Movers, Hand (55%).

MORE LABOR FORCE DATA ONLINE

Work arrangements

salaried, full-time job non-standard work arrangements hourly paid work part-time gig work schedule changes and variable hours less likely to receive benefits

: In 2024 in Louisiana, 69% of people in the labor force worked full-time (35+ hours per week, for 50+ weeks). Yet only about 40% of employed people (age 16+) had the security of a . The rest relied on — typically from one or multiple jobs (including and ). Hourly and part-time workers are more likely to have fluctuations in income due to and they are , such as health insurance, paid time off, family leave, or retirement plans.

Both systemic and personal factors can contribute to this. Many workers want to work full time but struggle to find and secure full-time employment. Others work part time because their hours have been reduced. Still others are unable to work full time due to family responsibilities, being in school or training, or dealing with illness or disability. In Louisiana in 2024, of people in the labor force, 25% worked part time (compared to 26% nationally). Part-time workers were much more likely to be below the ALICE Threshold than full-time workers (48% vs. 22%).

In addition, 40% of people in Louisiana (age 16+) were out of the labor force (compared to 36% nationally). This included those who were retired (18%) and those who were out of the labor force for other reasons, such as disability, health issues, caregiving responsibilities, or student status (22%).

EDUCATIONAL ATTAINMENT AND STUDENT LOAN DEBT

broader research

In line with , United For ALICE data shows that financial hardship decreases as educational attainment increases. In Louisiana in 2024, the share of workers below the ALICE Threshold was 50% for those with less than a high school diploma; 36% for those with a high school diploma or GED; 31% for those with some college or an associate degree; and 13% for those with a bachelor’s degree or higher.

average federal student loan

Federal Reserve Bank’s Survey of Household Economics and Decisionmaking

The cost of higher education puts it out of reach for many ALICE households or requires student loans that have proven to be challenging to repay. The in Louisiana in 2024 was $34,821. According to the 2024 , the amount of student debt was similar for respondents below and above the ALICE Threshold across the U.S. (due to sample size, state-level data is not available). But that debt was more of a burden for those below the Threshold to repay. In 2024, for 61% of borrowers below the Threshold, debt totaled more than half of their household income (compared to 30% of borrowers above the Threshold). Borrowers below the Threshold were also twice as likely as those above the Threshold to be behind on payments or in collections (26% vs. 13%).

FROM DATA TO ACTION: WE ALL HAVE A ROLE TO PLAY

If all households in Louisiana had enough income to meet their basic needs, not only would individual families be able to pay their bills and experience greater well-being, but their communities, and the wider economy, would benefit as well. Communities are stronger when families are thriving, allowing resources to shift from crisis spending toward improving quality of life (Figure 9).

Figure 9. Meeting Basic Needs Creates Cascading Benefits for Communities

If households have sufficient income for...

Safe, Affordable Housing

Benefits for ALICE Households

Benefits for the Wider Community

physical and mental health safer housing conditions and reduced stress educational performance and outcomes greater stability build wealth and racial equity , ; ;

Improved ; ; improved for children; for household members; a means to for homeowners

Quality Child Care and Education ; , , ; improved performance in ;

Adequate Food

Reliable Transportation

Quality Health Care

Reliable Technology

Savings

Expanded and updated housing stock, reduced systemic housing inequities lower health care costs reduced homelessness opportunities for jobs and more money spent in local communities

Reduced racial/ethnic inequalities in learning and development positive health, education, and economic outcomes for children and families stronger community economies more homebuyers and higher property values

Increased labor force participation, lifetime earnings and retirement security for women health benefits for children school readiness improved educational attainment and graduation rates higher education higher lifetime earnings ; ; ; through availability of quality child care

Decreased food insecurity leading to (especially for and ); and in school improved health children adults age 65 and over decreased likelihood of developmental delays behavioral problems ; improved and productivity; ; less reliance on ; greater equity by , , and

Lower health care costs school workplace healthier food environment emergency food services age gender race/ethnicity immigration status

Decreased ; to , and , and social services, , and (friends, family, faith communities) transportation insecurity improved access work/job opportunities school child care health care food/retail markets support systems and reduced gasoline consumption/carbon emissions; increased economic opportunity through ; a ; ;

Improved air quality returns on investment more diverse labor market decreased income disparities more integrated neighborhoods

Better mental and physical health (including ); improved access to ; ; fewer missed days of and ; increased life expectancy preventive care decreased use of emergency room for non-urgent care work school lower share of income spent on health care and strain on emergency services; ; ; ; ;

Improved access to ; expanded access to ; increased and job opportunities health information and telemedicine services job academic performance

Decreased health care spending reduced racial/ethnic disparities in insurance coverage and access to care fewer communicable diseases improved workplace productivity decreased wealth-health gap better outcomes during health crises

digital divide economic development disparities and increase opportunities

Closing the in access to technology by income; increased ; greater connectivity that helps reduce for civic participation

Ability to without impacting long-term financial stability; greater (e.g., ); in education, property, or finance a secure retirement) withstand emergencies asset accumulation over time interest on savings ability to invest to cover basic needs like health care, food, and housing;

Less spending on public services foundation for community investment and development, and collective progress

WHAT ACTIONS CAN YOU TAKE?

Our vision is a country where ALICE families not only have sufficient income to afford the basics but can also save and invest in their future. It is a country where all households have access to safe, affordable housing; well-paying jobs with benefits; education and training opportunities; safe, high-quality child care programs; comprehensive health services; reliable transportation; equitable financial services and asset building opportunities; and a comprehensive, holistic safety net to support households during times of need. Bringing this vision to fruition will require effort and investment across multiple sectors. While specific policy recommendations are beyond the scope of this Report, the information presented here can help stakeholders contemplate and prioritize which solutions will help ensure economic prosperity for all.

Community members:

● Raise awareness of ALICE through ALICE and or news videos share your experiences

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● Follow us at United4ALICE on , , and , and share posts about the true state of financial hardship in your state or community

● for advocacy, support, and volunteer opportunities

Connect with your local United Way

Nonprofits and community organizations:

● Advocate for the continuation of current government datasets (e.g., American Community Survey, Fair Market Rents). Consistent data over time is crucial for informed decision making, effective policy implementation, and accountability.

UnitedForALICE.org

● Use tools, maps, and indicators of well-being for community needs assessments and to prioritize and target funding, programs, and services

● Convene and share the ALICE data with existing and new partners — to advocate and innovate cross-sector strategies and solutions

Employers:

Implement strategies

● that support the well-being and retention of ALICE workers while also boosting engagement, productivity, and the bottom line

● Explore the Federal Reserve Bank of Atlanta Career Ladder Identifier and Financial Forecaster

● Advocate for community resources that support your employees — from affordable housing to quality child care Policymakers:

● Explore ALICE by district using the Legislative District Tool

● Use interactive tools from the Federal Reserve Bank of Atlanta (which use ALICE budgets), including the , to better understand the impact of benefits cliffs on ALICE families. Policy Rules Database

● to pinpoint need and identify gaps in community resources Map ALICE by location

APPLICATIONS OF THE ALICE DATA

Are you wondering how to get started? Here are some of the many applications of the United For ALICE data, tools, and resources. ALICE data is being used to:

● Guide strategic planning, help prioritize needs, and target community programs and services

● Advocate and inform policy and legislation

● Paint a more accurate picture of financial hardship in your community when applying for funding; use ALICE data to better identify strengths and needs when allocating resources

● Determine eligibility for assistance programs and services

● Build and strengthen partnerships and cross-sector collaboration for collective impact

● Create innovative strategies and shared learning to promote financial stability for ALICE

See examples of policies, practices, and programs United For ALICE partners have implemented using ALICE data in the database.

NATIONAL COMPARISON: INCOME STATUS, 2024

ALICE ONLINE

Visit to explore interactive data and resources. Click on the icons below to get started.

National Overview

National data and state comparison

Mapping Tool

Explore data for all available geographies (state, parish, municipality, ZIP code)

Legislative District Tool

See data by state upper and lower chambers and congressional district

Data Sheet

State ALICE data over time and by location

Methodology

Sources and calculations used in the ALICE research

ALICE Voices

Hear directly from ALICE or share your own ALICE story

ALICE Demographics

State, parish, and regional demographic data

Income Status Tool

Input income, household type, and location to see household ALICE status

Economic Viability Dashboard

Key data on work, housing, and community resources

Wage Tool

Identify parishes where select hourly wages can support basic costs

Research Advisory Committees

Learn about the members and roles of these critical groups

ALICE in Action Programs, practices, and policy changes implemented by the ALICE network

ALICE Household Budgets

State, parish, and regional budgets

Parish Reports

All available parish data in a shareable format

ALICE Essentials Index

Data on change over time in the cost of household basics

ALICE in Focus

A closer look at hardship for children, people with disabilities, and veterans

United For ALICE Team

Meet our data analysts, researchers, writers, editors, and designers

ALICE Videos

Videos that highlight ALICE stories, research, and partner impact

ABOUT UNITED FOR ALICE AND OUR PARTNERS

Launched in 2009 with a study of financial hardship in one New Jersey county, the nonpartisan has grown to include 41 states and the District of Columbia. The ALICE research shines a spotlight on households facing financial hardship — their strengths as well as the challenges they face. With data, tools, and resources, United For ALICE equips community partners — including United Ways, foundations, government, corporations, and other nonprofits — to build equitable policies and programs that promote financial stability for United For ALICE movement ALICE and for all

Research Advisory Committees methodology

To create the ALICE Reports, our team of researchers works with composed of experts from our partner states. This work is guided by our rigorous , which is updated biennially with experts from across our Research Advisory Committees.

Director and Lead Researcher:

Stephanie Hoopes, Ph.D.

Andrew Abrahamson; Ashley Anglin, Ph.D.; Catherine Connelly, D.M.H., M.A.; Jessica Fernandez; Victoria Mutuku, M.A.; Bhavyashree Putta, M.S.

The State of ALICE in Louisiana: 2026 Update on Financial Hardship

ALICE Research Team: is brought to you by Louisiana Association of United Ways. State sponsors include:

To learn more about how you can get involved in advocating and creating change for ALICE in Louisiana, contact: Sarah H Berthelot, President & CEO, Louisiana Association of United Ways, at sarah@launitedway.org.

LOUISIANA RESEARCH ADVISORY COMMITTEE

● Stephen R. Barnes, Ph.D., Kathleen Blanco Public Policy Center, University of Louisiana at Lafayette

● Tristi Charpentier, M.M.C., Huey and Angelina Wilson Foundation

● Jerome Cox, Ph.D., Milestones Counseling Services, LLC

● Steven J. Dick, Ph.D., Modern Metrics Barn

● Barry Erwin, Council for A Better Louisiana

● Lamar M. Gardere, M.S.C.S, The Data Center

● Sandra McQuain, The McQuain Group, LLC

● James E. Mitchell, Ph.D., Office of Technology Services, Louisiana Division of Administration

● Jan Moller, Invest in Louisiana

● Susan East Nelson, J.D., Southern University Law Center

● Dave N. Norris, Jr., Ph.D., Louisiana Tech University; and Louisiana Tech University Foundation

● Marshall Pierite, Tunica-Biloxi Tribe of Louisiana

● John Rees, M.U.R.P., Federal Reserve Bank of Atlanta

● Patty Riddlebarger, MBA, Entergy Corporation

● Randall E. Roach, J.D., Former Mayor of Lake Charles

● Bill Rodier, M.I.B., St. Landry Parish Economic Development

● Bently Senegal, C.P.A., C.G.M.A, Our Lady of Lourdes Regional Medical Center

● Libbie Sonnier, Ph.D., Louisiana Policy Institute for Children Suggested Citation: United For ALICE. (2026). "The State of ALICE in Louisiana: 2026 Update on Financial Hardship." https://www.UnitedForALICE.org/Louisiana © Copyright 2009–2026 United Way of Northern New Jersey. All rights reserved.