1. Real Economic Impact Tour Real Economic Impact for Americans with Disabilities Assessable Assets: Bringing Together the Disability and Asset-Building Communities National Disability Institute November 11, 2009 Johnette Hartnett, Ed.D Director Research & REI Tour

2. Real Economic Impact Tour National Disability Institute Build a better economic future Americans with disabilities. National Disability Institute is a national research and development organization to promote income preservation and asset development for persons with disabilities nationwide.

3. Real Economic Impact Tour What is Asset Development? Asset Development is a series of strategies that has the potential to help people with disabilities improve their economic status, expand opportunities for community participation, and positively impact the quality of life experience.

4. Real Economic Impact Tour Why is Asset Development Important to Persons with Disabilities? Access to Assets Provide greater financial security and independence Improve community participation and quality of life Improve mental and physical health Increase positive self-concept Increase status and expectations with other community stakeholders

5. Real Economic Impact Tour Disability Prevalence Sensory4.3% or 11.7 million Physical9.4% or 25.7 million Mental5.8% or 15.9 million Self-Care3.0% or 8.2 million Go-Outside Home5.4% or 12.4 million Employment 7.0% or 13.6 million Cornell 2008 Disability Status Report Ages 5 and Older

6. Real Economic Impact Tour Asset Poverty Asset poverty varies significantly by race and gender 33% of all American households have zero or negative net assets. 54% of Hispanic households have a similar status. 60% of African American households have no net assets. For persons with disabilities, estimates are as high as 80%.

7. Real Economic Impact Tour Increase Economic Stability through EITC Earned Income Tax Credit Represents about 25% of total income for year Is a credit for people who do not earn high incomes Reduce taxes and results in a refund Workers keep more of what they earn 589,129 returns claimed EITC in 2009 EITC increased by 10.5% in 2009 (electronic file and Tax Wise data not paid preparers) $793.6 million in EITC returns

8. Real Economic Impact Tour EITC Favorable Impact on Taxpayers Receiving Public Benefits Federal Law generally excludes counting EITC as additional income in determining eligibility for other federal public benefits. Including SSI, Medicaid, Veteran’s Benefits, HeadStart, etc.

9. Real Economic Impact Tour Taxpayer Research Customer Characteristics: RS SPEC Benchmark Study, May 2007 5.5 million taxpayers filing a return with a disability between 18 & 59 Additional 1.3 to 1.6 million non-filers working with a disability Median AGI of $19,100 vs. $33,800 for non- disabled 51% had AGI < than $20,000 vs. 32% of non- disabled

10. Real Economic Impact Tour Taxpayer Research 59% use a computer at home compared to 76% of persons with no disability 31% prepare own return compared to 42% with no disability 66% use paid preparer compared to 56% with no disability 10% use tax prep software compared to 20% with no disability 37% less likely to have savings or investments compared to 51% with no disability IRS SPEC Benchmark Study (May 2007)

11. Real Economic Impact Tour Taxpayer Research Survey results of 3,199 filers walking into free tax preparation sites in NYC, Wichita, West Palm Beach, and Boston (Ford Study, NDI, 2006) 30% checking account 12% savings account 24% had both checking and savings 25% received EITC 57% need special accommodations to file taxes and do banking 0% had an Individual Development Account (matched savings accounts) 12% on SSI 9% on SSDI 42 average age compared to 32 years for non-disability taxpayer using free tax assistance

12. Real Economic Impact Tour Taxpayer Research NDI/IRS W&I Research OMB Approved Focus Study Instrument Fear of losing health care coverage if they work or save (SSI has resource limit for single beneficiary of $2000) Desire to get off public benefits Lack of basic financial and tax knowledge Lack of relationship with local financial institution Lack of access to accessible financial and tax services, products and information Lack of materials in alternative formats (Braille, CD, large print, 504 compliant websites and software, etc.)

13. Real Economic Impact Tour Major Asset Building Tool Access to Free Tax Assistance National Community Tax Coalition www.NCTC.orgwww.NCTC.org Over 300 coalitions with over 15,000 volunteers provide free tax preparation In 2009 over 3 million returns prepared Representing over $3 billion in refunds Real Economic Impact Tour www.reitour.orgwww.reitour.org 100 REI Tour Cities in 2010 campaign 59 cities in 2009 received mini grants to build disability capacity 181,152 returns prepared - $176.6 mil returns and $36.2 mil saved in preparer fees

14. Real Economic Impact Tour Building New Relationships Mayors’ Offices United Way IRS FDIC Taxpayers Assistance Services Financial Planning Association IDA Providers EITC Coalitions Financial Institutions Community Action Agencies Goodwill International One Stop Employment Offices National Federation of Community Development Credit Unions AT&T and Veteran Affinity Wounded Warriors State Developmental Disabilities Councils Easter Seals Work Incentive Planning and Assistance Workers Centers for Independent Living Disability Program Navigators Associations for the Blind and Deaf National Council on Independent Living Bank of America Disability Affinity Group Merrill Lynch Veteran Service Organizations WallMart 54Freedom

15. Real Economic Impact Tour REI Tour Activities Purpose: Increase knowledge about tax filing and financial services through fee tax assistance and other asset building strategies. Development of disability workgroup Volunteer tax preparation assistance Participate in monthly calls during tax season Participate in REI Tour audio conference series Participate in yearly National Mayor’s Academy Opportunity to participate in coalition’s financial education and asset building programs

16. Real Economic Impact Tour REI Tour Activities Training about access and use of public benefits Development of Corporate Affinity Groups (Disability and Veteran) Training about federal work incentives and public benefits to promote self-sufficiency Training and technical assistance in how to leverage existing community resources such as One Stops, Disability Program Navigators, Vocational Rehabilitation, SSA Work Incentive Program Assistance, employee disability and veteran affinity groups – includes AT&T and Bank of America.

17. Real Economic Impact Tour Measures of Success Short Term # of free returns filed # of EITC refunds $ of refunds # of New Partnerships – National, State and Local # of Outreaches – Fliers, PSA’s, Media Long Term Access to accessible financial and tax education, knowledge and relationships Reduced reliance on social security benefits Increase use of financial incentives and benefits Real Economic Impact Tour success is measured by a series of performance indicators:

18. Real Economic Impact Tour REI Tour Outcomes YEARCITIESPARTNERSREFUNDS PREPARED TAX REFUNDS RECEIVED $$ SAVED 2005 11-----7,600$6.8 mil$1.5 mil 2006 3020017,223$15.3 mil$3.4 mil 2007 5435536,275$32.6 mil$7.2 mil 2008 6255590,653$81.0 mil$18.1 mil 2009 84634181,152$176.6 mil$36.2 mil 2010 100 TOTAL: 332,903 $312.3 mil $66.4 mil

19. Real Economic Impact Tour New Tools and Strategies for Building Disability Inclusive Economic Empowerment Asset Summits – 20 summits in 5 states Financial Fitness Expos – 5 expos Financial Education – Pilot testing curriculum in three states and designing web-based curriculum for State of Fl

20. Real Economic Impact Tour New Tools and Strategies for Building Disability Inclusive Economic Empowerment REI Tour DeafTax.com Pilot (2009) Use of Video Relay Service (VRS) Technology to test pilot preparing taxes for deaf taxpayers in real time remotely six cities 2009 BEST Fl Project – Building Economic Strength Together – Wounded Warrior, Provider Network and Youth with Disabilities – tested 6 month curriculum (75 participants) VISA developed Financial Soccer full of questions about disability and public benefits

21. Real Economic Impact Tour Join REI TOUR in your city! Go to www.reitour.orgwww.reitour.org www.REITour.org Johnette Hartnett JHartnett@ndi-inc.org (202) 296-2043 Michael Roush Mroush@ndi-inc.org (727) 278-1352