NEWARK – A $250,000 grant awarded to United Way of Greater Newark will be used to support Asset Limited, Income-Constrained, Employed (ALICE) families’ access to critical resources and financial support that they need to thrive, at a time when nearly one in three Newark children live in poverty.
Citi Foundation has given United Way of Greater Newark the grant to support households in Newark who fall below the ALICE threshold.
These households are working families who live paycheck to paycheck, and struggle to meet basic needs such as housing, childcare, food, transportation, health care and technology.
“As a result of rising costs, government job loss and companies laying people off, more people are now going to be living in the margins, so we’re seeing more people who are showing up at food pantries, more people who are showing up for rental assistance or other types of financial assistance in our partner organizations,” said Catherine Wilson, CEO of United Way of Greater Newark, in June.
In Newark, the need for assistance for these families is crucial, as 70% of households are below the ALICE threshold, according to United Way of Greater Newark.
“Although these ALICE individuals work hard to support their families, they still don’t earn enough to live comfortably, and due to their income, they don’t qualify for assistance programs,” Wilson said. “The disconnect between income and financial stability creates a persistent and invisible crisis, but with Citi Foundation’s support, we’re one step closer to closing that gap and helping more families access the resources they need to thrive.”
This $250,000 grant will allow United Way of Greater Newark to support nearly 400 more individuals as part of its “financial wholeness” pillar, in partnership with three other organizations under the Newark Asset Building Coalition.
Through the grant, United Way of Greater Newark will support BRICK Education Network’s Economic Mobility Lab, a community hub that provides coaching, professional development programs and personalized pathways to economic prosperity for Newark residents.
The programs and personalized coaching encompass health, financial education, academic advancement and career growth.
The grant will also support Urban League of Essex County’s Financial Opportunity Center, which offers financial capability education and coaching to individuals and families.
The Financial Opportunity Center has helped participants create financial goals, build better banking habits, increase net worth, and establish and build credit knowledge and scores in preparation for retirement.
“Through our Financial Opportunity Center, we see every day how access to financial coaching and resources can transform lives,” said Vivian Cox Fraser, president and CEO of Urban League of Essex County. “With the generous support of Citi Foundation, we will be able to reach even more families, helping them reduce debt, build savings, and take meaningful steps toward long-term financial stability and economic mobility.”
The grant will also support La Casa de Don Pedro’s Family Success Center model, a community-based approach to empowering families and revitalizing neighborhoods through family and youth counseling, after-school programs and community improvement initiatives.
ALICE participants will receive one-on-one financial coaching to help them make informed financial decisions, strengthen financial habits and prepare for the unexpected. The ultimate goal, according to United Way of Greater Newark, is to increase household financial stability and security, long-term economic resilience and reduce the cycle of financial crises.
Individuals seeking immediate assistance can connect with the BRICK Education Network, Urban League of Essex County and/or La Casa de Don Pedro to meet with a financial coach, develop a household budget and receive referrals to additional support programs.
The Newark Asset Building Coalition is a program made possible by The Prudential Foundation to promote financial stability for all Newarkers by increasing savings, reducing debt, increasing financial knowledge and improving access to wealth-building programs.
This coalition recognizes that, in order to create thriving communities, it first must acknowledge the depth and complexity of financial instability among working families. This is best done by funding proven community programs that need additional support, according to United Way of Greater Newark.
United Way of Greater Newark built the Newark Asset Building Coalition to unite nonprofits, businesses and local leaders from every ward in the city and promote well-being and financial stability.
Nicole Zanchelli is a reporter for TAPinto Newark. She covers local government, education and more. Email her at nzanchelli@tapinto.net.
