Report: Half of Michiganders with disabilities struggle to afford basic costs

The United Way released an updated estimate on the number of Michiganders with disabilities who fall below its ALICE threshold
The threshold indicates the number of people living above the federal poverty level but who still struggle to pay for basic needs
In 2024, about 29% of Michiganders with disabilities fell under the ALICE threshold, according to the estimate

About half of Michiganders with disabilities struggle to afford the cost of living, according to newly released data from the United Way.

The group estimates that in 2024, about 1.4 million Michiganders, or 14% of the population, had at least one disability, which included ambulatory, cognitive, hearing or vision disabilities. Of that group, about 20% fell below the federal poverty level.

But another 29% were living above the poverty level, but still struggling to afford basic needs, a category that the United Way calls ALICE, or Asset Limited, Income Constrained, Employed.

The United Way’s ALICE analysis attempts to estimate the number of people and households that don’t meet the federal government’s definition of poor, but don’t earn enough to afford basic housing, child care, food, transportation, health care or technology needs. The United Way says it uses its ALICE analysis to “illustrate the pervasiveness of financial hardship in the United States.”

It sees ALICE as an alternative to the federal poverty level, which in 2026 was $15,960 for an individual and $33,000 for a family of four.

All told, the United Way estimated that in 2024 there were 694,185 Michiganders with disabilities, or 49%, who were struggling financially. It was an estimated 48% in 2019.

Across the country, about 18% of people with a disability fell below the federal poverty line and an additional 32% under the ALICE limit.

“People with disabilities are our neighbors, friends and family. They’re woven into the fabric of our communities,” Kaitlynn Lamie, president and CEO of the Michigan Association of United Ways, said in a news release. “Yet too many face a system that makes basics like healthy food, transportation, and accessible housing and child care harder to obtain. The ALICE data helps us identify where gaps exist, so that we can direct our response where it’s needed most.”

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There isn’t universal agreement on the ALICE threshold. In 2024, the Mackinac Center for Public Policy criticized the United Way’s methodology for the analysis, saying its definition of households under the threshold is “simplistic” and guarantees large groups of people fall under its level.

US Census Bureau data released in 2024 estimated that about 13.2% of Michiganders and 12.5% of Americans were below the poverty level.

Matt Mencarini is a Report for America corps member who covers data and accountability for Bridge Michigan.