accessible assets asset building and the disability community karen harris supervising attorney...
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Accessible Assets
Asset Building and the Disability Community
Karen Harris Supervising Attorney
Hannah Weinberger-DivackAsset Building Specialist
Shriver Center
Asset Poverty
Asset poverty focuses on total household wealth, rather than just income
An “asset poor” household does not have enough assets to meet its expenses for 3 months if no outside sources of income
Asset Poverty in Illinois
21.8% of residents are asset poor
14.1% experience extreme asset poverty
Illinois ranks 25th in the country in asset poverty, and 29th by race
Asset Poverty
33% of all American households have zero or negative net assets.
54% of Hispanic households have a similar status.
60% of African American households have no net assets.
For persons with disabilities, estimates are as high as 80%.
Source: http://www.census.gov/prod/2008pubs/p70-117.pdf
Selected Disability Measures By Selected Age Groups 2005(numbers in thousands)
Source: http://www.census.gov/prod/2008pubs/p70-117.pdf
Selected Disability Measures By Selected Age Groups 2005(numbers in thousands)
Labor Force Statistics from the Current Population Survey
Employment Status and Disability StatusOctober 2009
http://www.bls.gov/cps/cpsdisability_102009.htm
Working Age People (25-61) with Income Below the Annual Poverty Line in 1997
By Disability Status
1 or More Disabilities No Disabilities
Source: Peiyun She and Gina A. Livermore, “Long-Term Poverty and Disability Among Working-Age Adults,” Journal of Disability Policy Studies 2009; 19; 244.
Working Age People (25-61)ExperiencingLong-Term Income Poverty (more than 36 months
over a 4 year period) by Disability Status
1 or More Disabilities
No Disabilities
Source: Peiyun She and Gina A. Livermore, “Long-Term Poverty and Disability Among Working-Age Adults,” Journal of Disability Policy Studies 2009; 19; 244.
What We Know:
Research Findings and Existing Barriers
Research FindingsIDAs
Research FindingsIDAs
Research FindingsCredit Union Savings
Programs
Existing Barriers
Barriers to savings include:
Lack of banking experience
Lack of knowledge of basic operations of financial institutions
General financial illiteracy
Distance from banking institutions
Limited access to technology and internet
Existing Barriers
Existing Barriers:Federal Asset Limit
Reform
Existing Barriers:State Asset Limit Reform
States have authority to eliminate asset tests in TANF and Medicaid and, with USDA approval, in Food Stamp Program
States can implement asset limit reform by legislation or administrative rule
Several states have implemented asset test reform
See “Reforming State Rules on Asset Limits,” Clearinghouse Review (Mar-Apr 2007), State Asset Limit Toolkit, and CFED Resource Guide
Existing Barriers : Lack of Access to the Financial Mainstream
Successful Asset Building Programs
REI TOUR
REI Tour
REI Tour Outcomes
YEAR CITIES PARTNERS REFUNDS PREPARED
TAX REFUNDS RECEIVED
$$ SAVED
2005 11 ----- 7,600 $6.8 mil $1.5 mil
2006 30 200 17,223 $15.3 mil $3.4 mil
2007 54 355 36,275 $32.6 mil $7.2 mil
2008 62 555 90,653 $81.0 mil $18.1 mil
2009 84 634 181,152 $176.6 mil $36.2 mil
2010 100
TOTAL: 332,903 $312.3 mil $66.4 mil
Allies, Inc.
Success of Saving (SOS)
A saving program engaged in the fight to reverse endemic poverty among people with disabilities in New Jersey. The program is modeled after Assets for Independence, a Federal program.
The goals of SOS are to:
Reduce barriers to full participation in the economy and increase personal economic self-sufficiency through the use of banking and other financial services among people with disabilities,
Establish integrated approaches to employment, wealth creation and asset management,
Evaluate the promotion of wealth creation and asset management among people with disabilities, and,
Reduce rates of poverty and reliance on public assistance by increasing overall access to capital to people with disabilities.
Allies, Inc.SOS Program
Allies Inc.IDA Program
Asset for Independence
Program Funding
The Assets for Independence (AFI) program is the primary source of Federal funds for IDAs
AFI has funded nearly 65,000 out of the approximately 85,000 savers to date
Authorization for AFI expired in 2003, and nearly every IDA program in the country has a waiting list
Take action by sending a letter on your organization's letterhead to Senator Burr who sits on the HELP Committee asking his support of AFI reauthorization
Prospects for the Future
Achieving a Better Life Experience (ABLE) Act of 2009
ABLE Accounts vs. Special Needs Trust Funds
ABLE Act of 2009
ABLE Act Resources
For full text of the bill, type “ABLE Act of 2009” under Search Bill Summary & Status at: www.thomas.gov/
Take Action: go to www.autismvotes.org and click on the Federal Initiatives tab
Asset Building Resources
Asset Poverty Information
Corporation for Enterprise Development http://www.cfed.org
Asset Limit Reform
State Asset Limit Toolkit www.povertylaw.org
Corporation for Enterprise Development www.cfed.org
Asset Building Resources