Erin Kelleyⁱ

REACH CDC is a community development organization in Portland, Oregon. In order to qualify for our affordable housing, a household must earn between 0% and 80% of Median income, most of our residents earn less than 30% of median income, which is $20,350 for a family of four. Many of our residents have various types of disabilities, including addiction, mental illness, chronic pain, and deafness. Our main goal is to offer opportunities for our residents to create healthy and stable lives. To meet this goal, we offer services and programs, including career services, computer classes, workshops and support groups.

One of our newest programs is Budget, Buy and Save, a financial education class. Started as a pilot program in 2005, the class covers many topics, including how to create a budget, the importance of tracking your spending, identifying strengths within yourself, and how to build your credit and a relationship with a bank or credit union. Class participants set a goal for themselves and work one-on-one with the class coordinator to create a plan for achieving that goal as well as a budget they can stick to.

In Budget, Buy and Save, participants learn to look at their expenses carefully, deciding on whether their purchase is a "need" or a "want." One graduate said that she thinks about her needs rather than getting something a little more expensive. The money she saves goes into her savings, and that money adds up over time.

Another tool that participants use is a spending diary. Participants write in a booklet everything they spend money on, how much it was, and whether it was a need or a want. This is an eye-opening exercise. It is very easy to underestimate just how much money goes towards groceries or cigarettes, and the spending diary helps people find out exactly where their money is going. Sometimes it’s a painful step but as one resident said, "it’s helpful to write down [what you buy] because you can nickel and dime yourself."

Graduates of Budget, Buy and Save who complete all five classes and a session of private financial coaching receive a computer or another item of their choice. Graduates can receive art classes and supplies, accessibility equipment, cooking classes and more. In the spring, Budget, Buy and Save will also have another opening-we will be beginning an Individual Development Account program. Participants will be able to make long-term savings goals towards a small business, a home, or post-secondary education. The money that they save will be matched 2 to 1. REACH is very excited to offer this new program, which is a great opportunity for our residents to become more financially stable and achieve their dreams.

iErin Kelley is a Resident Services Coordinator at REACH CDC in Portland, Oregon. A native of Portland, Erin began at REACH as an AmeriCorps VISTA in 2005, and is now a full-time employee. Her favorite part of her position is being able to support and encourage her clients in making progress towards their goals.