COVID-19 has already disrupted the financial stability of millions of households across the country.

During June and July 2020, Prosperity Now conducted a national survey of 2,252 lower-income households to better understand the circumstances these households are confronted with and the strategies they use to navigate this crisis.

Today, we are releasing our first analysis based on that survey in a report, “How are the Most Vulnerable Households Navigating the Financial Impact of COVID-19?"

Some of our key findings:

Nearly 40% of lower-income households feel worse off financially as a result of the pandemic. Almost half of the households surveyed were unable to fully cover at least one basic expense, such as housing, food or medical care, because of COVID-19.
About 84% of all lower-income households surveyed received the Economic Impact Payment (EIP) under the CARES Act. Households self-identified as White were roughly eight percentage points more likely to receive a stimulus check than their Black or Latino counterparts.
The most common strategies lower-income households relied on to navigate the financial impact of COVID-19 included using the Economic Impact Payment, resorting to savings, skipping bill payments (partially or in full) and filing taxes to obtain a refund. Latino and Black households and those in the lowest income brackets are the most likely to turn to alternative financial products that may increase their financial vulnerability in the long run.

The findings discussed in this report show that the $2.3 trillion CARES Act passed by Congress in March 2020 helped many of these families avoid financially disastrous outcomes. However, many households were not able to access these supports or were excluded from them entirely. This information is timely and relevant as policymakers design a new stimulus package. For more of our analysis, read our full report.

Read Our Full Report