- The Challenge
- Our Approach
- Impact
- Partnership
The Challenge
We all need assets in order to invest in the future and move our families forward.
Yet many families with low incomes are also living in asset poverty, meaning they do not have the assets to be able to cover even three months of basic living expenses without income.
Assets are a stronger predictor than income of financial well-being and economic mobility. They provide a cushion in times of economic distress as well as the capital that all of us need to invest in opportunities that move our families forward such as education, homeownership, and small business.
Despite the critical role that assets play in supporting families to move forward, the opportunity to build assets is out of reach for many families with low incomes. Anti-poverty programs often discourage or penalize savings, and these penalties intersect with systemic and historic barriers to wealth building for Black and/or Latinx women. Some innovative approaches exist to correct these problems, but they are a loose patchwork and remain out of reach to most families.
Assets are a stronger predictor than income of financial well-being and economic mobility. They provide a cushion in times of economic distress as well as the capital that all of us need to invest in opportunities that move our families forward such as education, homeownership, and small business.
Despite the critical role that assets play in supporting families to move forward, the opportunity to build assets is out of reach for many families with low incomes. Anti-poverty programs often discourage or penalize savings, and these penalties intersect with systemic and historic barriers to wealth building for Black and/or Latinx women. Some innovative approaches exist to correct these problems, but they are a loose patchwork and remain out of reach to most families.
For families in our housing and public welfare systems, rules actually discourage and penalize savings, making it difficult for families to get ahead.
Our Approach
Our work begins and ends with a fundamental, unwavering belief in people and in their ability to achieve their goals and dreams.
We partner with families with low incomes to build assets as a pathway out of poverty. We focus on reaching families led by Black and/or Latinx women.
To achieve our mission, we operate client-centered savings and financial coaching programs, deliver training and technical assistance to other practitioners, and shape policy solutions that dismantle barriers to asset building.
To achieve our mission, we operate client-centered savings and financial coaching programs, deliver training and technical assistance to other practitioners, and shape policy solutions that dismantle barriers to asset building.
In 2022, Compass set out on a seven-year strategic plan to expand our work on FSS in three areas:
We will work with our current partners to continue to implement our high-impact model for the FSS program, and seek to partner with additional large public housing authorities and private affordable housing owners
We will further explore and refine our field-building, training, and technical assistance offerings for other FSS practitioners
We will increase our capacity to shape policy, leveraging our work on the ground to push for the change we know is possible.
Impact
Since launching our first FSS program in 2010, Compass has partnered with
$6,000
families to build
families to build
$27,000,000
in savings
in savings
Compass FSS graduates save $8,500 on average in their FSS escrow accounts. 75% of graduates also have $400 or more in additional personal savings - last year, only 63% of all US households could say the same.
Compass-run FSS programs significantly outperform other FSS programs nationally, and Compass FSS graduates significantly increase the financial security of their family:
Compass-run FSS programs significantly outperform other FSS programs nationally, and Compass FSS graduates significantly increase the financial security of their family:
Compass FSS Graduate Outcomes
Outcome Metric
Result
Increased annual income
70%
Average income increase
$21,500
Improved or established credit score
70%
Average credit score increase
75
On-time debt payments (3+ months)
80%
Low credit utilization (<30%)
50%
3rd-Party Evaluation
Since launching our first FSS partnership in 2010, we have engaged in continual program monitoring and evaluation with external research partners to inform program modifications and evaluate the program’s impact. Starting in 2014, Compass engaged Abt Associates to conduct ongoing rigorous evaluation of our FSS programs. These studies have analyzed the impact of our programs on participants’ earnings, public assistance utilization, and credit and debt outcomes. Likewise, Abt has conducted multiple cost-benefit analyses of these programs.
This research supports our conviction that well-run FSS programs with a focus on asset building can support women and families to build savings, reach their financial goals, and become more financially secure. Likewise, these outcomes strengthen the case for FSS as the kind of powerful tool that we need, at a far greater scale, to narrow the racial and gender wealth divides.
This research supports our conviction that well-run FSS programs with a focus on asset building can support women and families to build savings, reach their financial goals, and become more financially secure. Likewise, these outcomes strengthen the case for FSS as the kind of powerful tool that we need, at a far greater scale, to narrow the racial and gender wealth divides.
*Compass collects and analyzes a significant amount of data about our programs. Limited data is available regarding FSS program performance nationally and is included where available. Compass program data is current as of 8/31/2024. The data above includes both active and past partnerships with the following partners: Boston Housing Authority, Cambridge Housing Authority, The Caleb Group, Lynn Housing Authority & Neighborhood Development, Mercy Housing, Metro Housing|Boston, Philadelphia Housing Authority, Preservation of Affordable Housing, Related Companies, and WinnCompanies.
Partner with Compass
HUD's Family Self-Sufficiency (FSS) program is a major opportunity for public housing authorities and private multifamily owners or operators of affordable housing to increase the economic mobility and financial security of their residents. To launch a FSS program, many factors can come into play, including staff capacity, in-house expertise, financial coaching and other programming, as well as the size of the properties.
Compass Working Capital, a leading FSS program operator that has helped 5,000 families build over $19 million in savings through FSS, offers public housing authorities and multifamily property owners support in launching and maintaining a successful FSS program for your residents.
Compass Working Capital, a leading FSS program operator that has helped 5,000 families build over $19 million in savings through FSS, offers public housing authorities and multifamily property owners support in launching and maintaining a successful FSS program for your residents.
Outcomes for participants in Compass' FSS programs
$9,000
Average escrow
Among those with escrow
Average escrow
Among those with escrow
$20,000
Average increase in earned income
Among those with an increase
Average increase in earned income
Among those with an increase
What our partners say:
“It (FSS) makes me feel less authoritarian and that I now have a real opportunity to offer to my residents that can really help. I think that is the biggest impact on the manager. Property management who is often seen as a ‘policeman’ or ‘authoritarian’ can be more of an ally that wants to see and support the resident to get ahead.”
Partnership Options
Compass FSS Link
Support your FSS program with resources from Compass FSS Link, our online learning platform with over 2,400 FSS practitioners across the country. It provides trainings, webinars, and best practices for marketing, financial coaching, and program management.
Key Benefits
FSS Launch Training and TA
For Multifamily Owners & Operators: FSS Launch Training and TA
Get help launching your own FSS program from ourv, a 12-module training series on the nuts and bolts of starting up an FSS program.
Key Benefits
Full Partnership
Let Compass deliver a comprehensive program launch and ongoing management, including outreach and enrollment, financial coaching, and program management.
Cost: $1,500 - 2,000 per enrollee per year plus a one-time launch fee.
