Meet ALICE: 29% of American households who earn above poverty level but don't have enough to make ends meet

Another resource is 211 call centers, says Hoopes, referring to specialists trained to help connect people with local resources for food, housing and healthcare. They’re available around the clock when you dial 2-1-1 on your phone. “They have thousands of resources available, and their job is to connect people,” Hoopes says.

Some ALICE individuals find work in the gig economy — doing anything from driving for a rideshare service to building decks to crocheting clothing or making t-shirts, Hoopes says. “It’s a way to make extra money to fill in the gaps.”

Ways you can save when money is tight

When your expenses exceed your income, any amount you can trim from your bills or other spending will help to keep your head above water. It also might allow you to put money into an emergency fund.

Follow a budget

A budget is a ledger that lists your monthly income and expenses. It helps you see where your money is going and find areas where spending can be reduced. You can set up a budget using a spreadsheet, a budgeting app or pen and paper. Create categories for each area of spending such as rent, food, housing, transportation, insurance, childcare and utilities.

Find ways to lower expenses

Once your budget is in place, look through it for items you can cut, such as streaming services you’re not using. Also consider expenses you may be able to reduce, such as by finding a new cell phone plan or carrier, or shopping around for more affordable car insurance.

Build up a savings account

Nearly 6 in 10 Americans (59%) say they’re uncomfortable with their level of emergency savings, according to Bankrate’s 2024 Annual Emergency Savings Report. found.

If you don’t typically have extra money when the bills are paid, keep in mind that any windfall you receive — no matter how small — could be earning interest in a high-yield savings account. An example would be a tax return or a rebate from a purchase. Money set aside for emergencies, even if small, can help you stay afloat financially when faced with emergency expenses such as a car repair or a medical bill.

Bottom line

ALICE doesn’t qualify for government benefits but still struggles to afford the basic costs of living. Some lower-income workers have seen wage increases but not enough to keep up with inflation. Problems they may experience include inability to pay bills on time, lack of healthcare coverage and not having money in a savings account to help cover unplanned expenses.

Non-governmental resources available to those struggling financially include food banks and 211 call centers, and some find side hustles to help generate extra income.

United for ALICE’s wage tool provides an interactive map where you can view all the U.S. counties, with the corresponding hourly wage needed to support ALICE’s household survival budget.