BETHLEHEM, Pa. — Nearly half the households in the Greater Lehigh Valley are struggling to afford basic essentials, a survey by the United Way has found.
The nonprofit agency found that about 136,500 families — about 47% of households in Carbon, Lehigh and Northampton counties — struggled to cover expenses such as rent, food, taxes, child care and health care based off data collected in 2022.
That's 17% more than the last time such a study was undertaken in 2021.
The numbers are stark but not surprising given the experience agencies like Community Action Lehigh Valley have with people they help, said Dawn Godshall, executive director of CALV.
“I think the fact that the minimum wage is still at $7.25 an hour isn’t helpful, and costs for everything have gone up significantly for food and rent,” she said. “With food and rent having gone up so high, if the minimum wage isn’t going up to supplement that, people are going to be in trouble.”
Godshall said there have been increasing signs of people reaching out for help, particularly in demand for food through Second Harvest Food Bank.
“It’s just not sustainable,” she said of increases in the cost of living. “We’re seeing I believe more people will be homeless or facing homelessness if something isn’t done.
“The amount of food increase does not necessarily mean people are hungry. It could mean more going to food pantries to use the money they would normally spend on food so that they can pay their rent and utility bills. People have to figure out how to balance their budgets in some way.”
“It’s just not sustainable. We’re seeing I believe more people will be homeless or facing homelessness if something isn’t done."Dawn Godshall, executive director of Community Action Lehigh Valley
The United Way study determined that although wages have increased the past couple of years, it hasn't been enough to offset rising costs of everyday expenses.
Post-pandemic
The transition was even harder considering the number of COVID-era tax breaks that phased out since 2022. The study found that when tax breaks were factored into the equation, the basic cost of living increased an average of 27% across Carbon, Lehigh and Northampton counties from 2021 to 2022.
“This data further confirms what your local United Way and so many of our partners have experienced during the past several years," Marci Lesko, CEO of the United Way of the Greater Lehigh Valley, said in a news release.
"With steep increases in housing, food and child care costs, families simply cannot afford what they need to live, let alone thrive. We remain committed to helping people access the critical resources they need today, while working to develop the long-term solutions that will ultimately build a stronger community,”
The United Way periodically reviews the average expenses a household would encounter in each county. It then adds those costs up and compares that to income data in those communities.
It labels the households that earn more than the federal poverty level but less than the amount needed to pay for those expenses as ALICE — Asset Limited, Income Constrained, Employed.
United Way's survey found the Greater Lehigh Valley is doing worse by its ALICE metric than the state as a whole. About 40% of Pennsylvania households were not able to cover basic expenses, according to its statewide survey. The highest levels were in Forest County, where 57% of households couldn't afford basic amenities.
The data matches with the experiences of people in need.
Allison Czapp, associate executive director for Second Harvest Food Bank, said pantries are serving about 110,000 individuals per month. That’s up from about 45,000 people per month during the COVID-19 pandemic.
"It’s been really challenging for both our pantry network and the volunteers who support them,” Czapp said. “The most challenging situation of course is for the people now newly experiencing food insecurity for a host of other reasons. We’re building capacity to finding solutions to meet the needs, but it’s a challenging time.”
Second Harvest expects to have distributed 16 million pounds of food in its six-county area by the time the fiscal year ends later this month.
That’s up from 14.3 million pounds distributed last year and 11.3 million pounds the year before that, said Community Services Manager Nicole Folino.
County breakdowns
CARBON COUNTY ALICE DATA
Rent for a two-bedroom apartment: $886
Utilities: $310
Child Care: $1,521
Food: $1,227
Transportation: $1,047
Health care: $761
Technology: $116
Miscellaneous: $587
Tax credits: -$433
Monthly Total: $7,204
Annual 2022 Total: $86,448
% increase from 2021: 4.5%
LEHIGH COUNTY
Rent for a two-bedroom apartment: $1,187
Utilities: $310
Child Care: $1,859
Food: $1,342
Transportation: $1,047
Health care: $761
Technology: $116
Miscellaneous: $662
Tax credits: -$433
Monthly Total: $8,222
Annual Total: $98,664
% increase from 2021: 7.8%
NORTHAMPTON COUNTY
Rent for a two-bedroom apartment: $1,203
Utilities: $310
Child care: $1,859
Food: $1,427
Transportation: $1,047
Health care: $761
Technology: $116
Miscellaneous: $672
Tax credits: -$433
Monthly Total: $8,358
Annual Total: $100,296
% increase from 2021: 5.7%
