In Northwest Indiana, 39% of households are having a hard time affording six basic needs: housing, childcare, food, transportation, healthcare and technology, according to the most recent Asset Limited, Income Constrained, Employed, or ALICE, report.
That’s over one in three households, or 114,782 households. Across Indiana, 38% of households – over 1 million households – have been struggling to make ends meet, according to the report.
ALICE households earn less than the cost of basic needs, but their income is above the federal poverty level, which means they don’t qualify for assistance. Many ALICE households consist of workers in childcare, nursing assistants and cashiers, according to the report.
Between 2007 and 2024, the ALICE essentials index in Indiana increased more than 61%, compared with 52% for the broader Consumer Price Index, which reports inflation across more than 200 categories of goods and services.
United Way Northwest Indiana President and CEO Chris White said the organization’s work primarily focuses on the needs of the ALICE population. While wages go up, costs increase “faster and faster,” White said, adding that U.S. consumer inflation rates hit 4% in May.
“Well, whose paycheck got 4% bigger last month?” he asked. “Families in urban areas are struggling. Families in rural areas are struggling. It’s an issue that we’re seeing in every county, across the region, across the state, and frankly, across the country.”
The minimum cost for a single adult to live and work in Indiana in 2024 was $28,764, and for a family of four was $74,028, according to the report, which is nearly double the federal poverty level of $15,060 for a single adult and more than double the $31,200 for a family of four.
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In Northwest Indiana, which includes Lake, Porter, Jasper, Newton and Starke counties, 27% of households fall below the ALICE threshold but are above the federal poverty level, while 12% of households fall below the federal poverty level, according to the report.
Lake County has the highest number of households below ALICE, with 82,388 households, with Porter County following in second place with 22,396 households, according to the report.
The report found racial disparities across Northwest Indiana, with 57% of Black households and 41% of Hispanic households living in poverty or below the ALICE threshold.
Statewide, 72% of households led by single women and 49% of households led by single men were below the ALICE threshold. Racial disparities remained statewide, with 55% of black households living under the ALICE threshold, while 36% of white households and 43% of Hispanic and multiracial households were under the ALICE threshold, according to the report.
There isn’t a single solution to help ALICE households because each household has a different, unique reason for financial hardship, according to the report.
“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,” according to the report.
“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.”
Some actions at the state level have worked to decrease costs, White said, including Gov. Mike Braun’s gas tax holiday in the past three months. But the cost of rent, groceries, utility bills and health care remains high statewide and nationally.
When people talk about struggling families, White said it’s easy to think about people in entry-level positions, but it can happen at any level. In Lake and Porter counties, a family of four needs to earn between $81,000 and $83,000 each year, he added.
“Salaries have risen substantially over the last 10 to 15 years, but the costs are rising even faster,” White said. “It’s hard for some people to believe that you can make that much money and still struggle to get by.”
Many programs that would provide support to families that might be struggling but not below the poverty level received funding cuts from the federal government, White said. In the area, about 12% of households are below the federal poverty level, he added, but about 27% of families are above the federal poverty level yet still don’t have a sustainable income.
“The challenge is that once you’ve crossed over the poverty line, the benefits that are available to you start disappearing, and they generally don’t fade out,” White said. “You reach a certain level and all of a sudden, you make a dollar more, and you lose everything.”
The Food Bank of Northwest Indiana works to provide services to all people, regardless of their income level, said Tricia Sheaks, vice president of operations and community impact.
The organization serves 60,000 people per month with an average of 900,000 pounds of food, according to an email from Sheaks. The food bank is on track to distribute more than 11.4 million pounds of food this year, beating its 2025 numbers.
In the past year, Sheaks said the food bank has seen an increase in recipients all around because gas and food prices and the cost of living have increased so much.
“We’re seeing all types of people come through our line,” she added. “I think, just overall, if we’re able to lessen the grocery bill for them, even if they don’t qualify for food stamps, that’s great.”
Everyone should have access to food sources, no matter what their income level, Sheaks said. Even more than that, she believes that everyone should have access to healthy foods, such as fresh fruits and vegetables.
The organization has more than 150 food pantries throughout its network, and they rely on funders like the United Way to help provide resources. They also have smart food lockers available regionally where people can order ahead and pick up their food.
The Food Bank of Northwest Indiana receives federal grant funding, but the numbers have fluctuated in the past year and a half. Because of funding changes, the food bank relies more on donations. Grocery stores, including Walmart, Target and Costco, and local restaurants and businesses also donate to the food bank, Sheaks said.
“There’s many businesses and people that are able to help,” Sheaks added. “I just think they don’t know where or how they can help, so that’s what we’ve got to do. We’ve got to get out there and source the food and try to bring as much in as we can to keep up with the demand.”
CoAction, an organization that helps people experiencing financial hardship, has seen firsthand what the ALICE report describes, said Lauren Zurbriggen, the agency’s director of community engagement.
ALICE households aren’t asking for luxuries, Zurbiggen said. They are making difficult decisions every day to ensure they can keep the lights on, provide food on the table and have stable housing, she said.
“The ALICE report puts numbers behind what we see every day at CoAction. More Northwest Indiana families are working hard and still struggling to make ends meet,” Zurbriggen said. “Community Action exists to help people through difficult times, but the growing affordability gap shows that many households are facing challenges that no amount of budgeting alone can solve.”
CoAction has seen an increase in households applying for assistance so far this year compared to last year, Zurbriggen said. CoAction also has a community loan center, which helps families avoid taking out payday loans, and there has been an increase in loan applications as well, she said.
“We’re seeing signs that more families are relying on debt to make ends meet, which is usually another indicator that household budgets are under stress,” Zurbriggen said. “We’re seeing people have to come back to apply for these loans multiple times to seek help.”
In recent months, “the face of this need has changed,” Zurbriggen said, as many of those seeking help are employed and raising families.
“They are doing everything they can to stay afloat, but they still need help,” Zurbriggen said.
The North Township Trustee’s Office has seen an increase in the number of people who need assistance paying their NIPSCO bill, said Deputy Chief Virginia Carter. From January 2025 to June 12, 2025, the office helped 196 families with their NIPSCO bills, which increased to 374 families assisted with their NIPSCO bills from January to June 12, she said.
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For all assistance – mortgage, rent, food, water and NIPSCO bills – the office has issued over $200,000 more in assistance in the first half of 2026 compared to the first half of 2025, Carter said.
Carter said she wasn’t surprised by the ALICE report findings. More elderly people, who are on a fixed income, have been coming into the office for assistance with their NIPSCO bills and rent or mortgage payments, Carter said.
“We see it every day in our office. We see the working class are really struggling now to make it,” Carter said.
The St. John Township Trustee’s Office has also seen an increase in assistance needs for housing payments and food, as well as a large increase in people who need help with their NIPSCO bills, said Trustee Cathy Lareau.
“We are very busy,” Lareau said. “My goal, and my staff has had the same vision, is that can we help people kind of find long-term solutions, and that’s what we try to do.”
While the ALICE report findings could surprise many people, Lareau said it highlights what the office sees.
“I don’t think that people really realize the families that really are struggling. I don’t think they overall think that that is going on in our communities,” Lareau said. “We see a lot more (people) than what the general public would maybe expect.”