Family Economic Security Initiative (FESI)

Transforming the Way We Address the Economic Needs of Working California Families
Working families in California and across the nation are struggling to make ends meet. Due to stagnant wages and ever-increasing costs, more and more working families are finding that their earnings no longer cover the costs of their basic needs, and our public policies do not close the gap. The Family Economic Security Initiative is a statewide, research-driven coalition that advocates for programs and policies that help close this gap, and ensure that California’s working families and retired elders do not struggle to make ends meet.

A More Realistic Measure of What it Takes to Make Ends Meet: The Family Economic Self-Sufficiency Standard
A key component of the Family Economic Security Initiative is the Family Economic Self-Sufficiency Standard Family Standard), a new tool that quantifies the actual costs of meeting the basic needs of working families. The Family Standard measures how much income is needed for families of 156 compositions, living in a particular county, to meet their basic needs. The Family Standard methodology was developed by Dr. Diana Pearce of the University of Washington. It uses widely accepted and credible national and state data sources such as the U.S. Census Bureau and the U.S. Department of Housing and Urban Development. Geographically relevant data is used for each county in California, reflecting local market rates for items such as housing, food, child care, health care, and transportation.

A More Accurate Alternative to the Federal Poverty Level
The Family Standard is based on the costs individuals and families face on a daily basis – housing, food, child care, out-of-pocket medical expenses, transportation, and other necessary spending – and provides a complete picture of what it takes for families to make ends meet. The Family Standard shows that many Californians who are not poor, as defined by the Federal Poverty Level (FPL), still do not have enough income to meet their basic needs.

How the Family Standard is Used
The Family Standard is used by a wide range of people to help ensure that working California families have the resources they need to live with dignity and economic well-being. For direct service providers, the Family Standard Index is a much-needed tool that helps providers accurately evaluate the needs of their clients and helps them secure additional funding to increase their service capacity. Advocates use the Family Standard to strengthen their efforts to promote more effective public policy. Policymakers use the Family Standard to more accurately evaluate policy decisions on family economic security issues – ultimately improving the efficiency of existing services by measuring which programs and policies are most effective in helping families reach economic security, and directing limited funds to the appropriate programs. And finally, equipped with realistic data on the income needed to make ends meet in California, students can make informed decisions about what kinds of jobs they will need to support a family and workers can identify training opportunities which lead to self-sufficiency wages.

A Coalition for Change
The Family Economic Self-Sufficiency Initiative is guided by a statewide steering committee comprised of policy makers, public agencies, nonprofit service organizations, advocacy groups, and foundations. California’s initiative is part of the national Family Economic Self-Sufficiency (FESS) Program, led by the Washington, D.C.-based Wider Opportunities for Women (WOW) and in partnership with 35 other states, including the District of Columbia. Ultimately, our goal is to transform the way we measure and address the economic needs of working families throughout the entire country. Get Involved. For more information on FESI and the Family Economic Self-Sufficiency Standard, contact Jenny Chung at jchung@insightcced.org. To join our listserve, click here.

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