Major Ethnic Disparities In Morristown Area's Financial Struggles: Research

MORRISTOWN, NJ — About 1 in 5 Morristown-area childrens' families face financial hardship, according to new research from United Way of Northern New Jersey. The local data showed major ethnic disparities, with a majority of local Hispanic youth living in households that have struggled to make ends meet.

United Way of Northern New Jersey contends that traditional poverty metrics "systemically" undercount the number of children across New Jersey and the nation in households that struggle to make ends meet. The nonprofit measures financial struggle not just through the federal poverty line but through its own ALICE (Asset Limited, Income Constrained, Employed) metric. ALICE households live paycheck to paycheck and can't afford the basics for survival, according to the organization.

Sixteen percent of U.S. children fall under the poverty line. But 49 percent are in families that fall below the ALICE threshold, reflecting a national struggle for families with children to afford essentials in the modern economy, according to United Way of Northern New Jersey.

The data comes from the 2019 U.S. Census — before the pandemic threw many American families into further financial hardship.

"Undercounting the number of children who are at risk can have lifelong consequences," said Kiran Handa Gaudioso, CEO of United Way of Northern New Jersey. "Thousands of children are locked out of receiving critical supports for stable housing, food and quality education, all of which can inhibit healthy child development."

The Morristown area's region — southern Morris County — also includes nearby locales such as Florham Park, Madison and Chatham.

In the Morristown area, 18 percent of children fell under the ALICE threshold in 2019, according to United Way's analysis. Sixty-three percent of Hispanic children lived in households that struggled to afford basic necessities — a far-higher rate than local white kids (10 percent) and Asian youth (zero percent).

There was not enough data for United Way to publish ALICE populations for any other race or ethnicity in the Morristown area. Researchers concealed figures for any group with 500 or fewer children in the area to maintain accuracy and confidentiality.

The research also illustrated financial struggles for local children in one-parent, woman-led households. The data shows 2,222 area children living in such households, with 48 percent falling below the ALICE thresholds. Children in single, man-led households did not meet the 500-member sample size.

Meanwhile, only 14 percent of children in Morristown-area households with two parents or guardians struggled to make ends meet, according to the data.

The report showed major racial and ethnic disparities throughout New Jersey. Sixty-three percent of Black children, 60 percent of Hispanic children and 27 percent of white children were below the ALICE threshold.

To determine local data, United Way of Northern New Jersey separates its maps into Public Use Microdata Areas (PUMAs) — a U.S. Census Bureau geography that separates areas into groupings of about 100,000 people each.

Sortable data includes breakdowns of different demographics and factors, including race and ethnicity, living arrangements and public-assistance status.

According to the research, half of New Jersey families below the ALICE threshold reported last fall that their children "sometimes or often" didn't have enough to eat, in contrast with 32 percent of higher-income households.

"Having accurate, complete data is the foundation for designing equitable solutions," said Dr. Stephanie Hoopes, national director of United For ALICE. "COVID-19 hit ALICE families so much harder than others because they struggle to build savings yet often don't qualify for financial assistance."

Find the full report and data here.

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