Poverty Simulation Partnership
The Power of Personal Experience in Changing Perception
Imagine reaching the end of the month knowing you can’t pay all your bills. The stress has been building, and you feel like you’re at a breaking point. You didn’t have the transportation to get to work, which meant no paycheck. Things were already tight—now, you're left wondering how you’ll afford groceries, refill your prescription, or dig out of this financial hole next month.
That’s the experience one participant described during a recent Poverty Simulation hosted by EightCAP, Gratiot County Hope House, and United Way of Greater Central Michigan. The simulation gave community members a window into the difficult decisions and emotional toll that low-income families face every day.
“I felt anxious. At the end of the month, we didn’t pay all of our bills because we didn’t have enough bus passes to get to work to get paid. I was frustrated. That’s probably how a lot of the clients we work with feel. Until you feel it, you don’t think about it.” -Reagan, Early Head Start Coach (*name changed for story)
What is a Poverty Simulation?
A Poverty Simulation is a three-hour interactive experience that helps participants better understand the day-to-day realities faced by low-income individuals and families. Participants are assigned roles in simulated households and must navigate four 15-minute “weeks” of trying to meet basic needs—housing, food, childcare, transportation—while encountering barriers that mirror real life. The goal is to challenge assumptions, promote empathy, and explore community resources through lived experience.
For Reagan, the simulation was eye-opening.
“When I was a home visitor and would ask a parent about the upcoming dentist appointment or a past due well-child check, and they’d say they didn’t have gas money or phone minutes to schedule it—I used to just document it. After this experience, I realized I sometimes doubted what they were telling me. I should have had more empathy.”
“When you don’t have enough income to cover your basic expenses, it feels like falling into a hole you’re constantly trying to climb out of. Many people live going from one crisis to another. That’s their reality. They may not have the means to support their family that way others do, but that certainly does not make them any less of a person.”
The ALICE Reality in Mid-Michigan
In mid-Michigan, nearly half of all households fall below the ALICE Threshold. ALICE stands for Asset Limited, Income Constrained, Employed—households that earn above the Federal Poverty Level, yet still don’t bring in enough to cover the basic cost of living in their community. While some families have seen modest improvements, many continue to struggle, especially as wages fail to keep pace with the rising cost of essentials like housing, child care, food, transportation, health care, and even a basic smartphone plan.
Households below the ALICE Threshold—including both ALICE families and those living in poverty—are unable to consistently afford these necessities. For them, every month brings tough decisions: which bill can wait, which need can be delayed, and how to keep going without falling further behind.
The Poverty Simulation highlighted the emotional and logistical barriers ALICE households face—how difficult it is just to survive, how demoralizing it can be to ask for help, and how easily one unexpected setback can unravel an already fragile budget. “This whole thing made it so much more real,” shared one retired educator. “It’s a constant reminder to always treat people with kindness and empathy,” added another participant.
Moving From Awareness to Action
Thanks to a grant from the Gratiot County Community Foundation, EightCAP was able to purchase the educational kit that made this event possible. But the impact extends far beyond the event itself. When community leaders, educators, and service providers walk in the shoes of those they serve, it creates a shift—a deeper understanding, a more compassionate approach, and a renewed commitment to equity.
The Poverty Simulation is just one tool, but its power lies in making poverty personal and in doing so, changing perceptions that lead to more compassionate and supportive communities. United is the Way to community resiliency, where understanding leads to action and no one is left behind.
