Housing: Santa Clara County has the highest real estate values in the country. Many SCS clients pay 70%-80% of their monthly income for rent. Someone working all year full-time for California’s minimum wage grosses $16,640 a year, barely enough for a one-bedroom apartment let alone food, clothing, and transportation.

Contingent Employees: Santa Clara County has the highest percentage of contingent workers—part-time and temporary—in the country, 30%-35% compared to 25% nationally. The vast majority receives no benefits whatsoever including paid sick leave. One illness can wipe out a family’s limited savings.

Health Care: More and more clients who have medical benefits cannot afford higher co-payments and uncovered medical and prescriptions expenses, especially seniors. A growing number of medications are not covered by insurance companies, and many others are now sold over-the-counter and aren’t covered by any insurance.

Gas Prices: Low-income families’ budgets were already stretched when a gallon of gas cost only $2. With skyrocketing prices at the pump, many of our clients have had to change their primary or second jobs because they couldn’t afford the gas to get to and from work or between their two jobs.

Other Reasons: Costly car repairs, seasonal and weather-dependent work, long waiting periods for benefits especially for disabilities, lost rent when roommates move, and death related expenses.

More Complications:

• The local unemployment rate doesn’t count those whose unemployment benefits run out
• Many laid-off employees cannot afford COBRA payments
• Recent changes make many veterans ineligible for care through VA Hospitals
• HMO and Medicare co-payments are increasing
• Insurance doesn’t cover over-the-counter medications
• There is a long waiting list for in-home support services for seniors
• Families reaching the five-year lifetime welfare limit lose the subsidy they received if their jobs paid below the poverty level
• Bus service has been cut and prices raised affecting the elderly, students, and the poor
• Military reservists’ families call for help as military pay doesn’t come close to their salaries
• Due to decreased funding, nonprofit agencies in all fields have slashed their budgets and services