There were many studies conducted on the economic aspect of unemployment among the general population in national level. however, few studies examined the living conditions, social welfare needs, and psychological aspects of unemployment among the low-income families. This study examines the low income unemployed families living conditions and welfare needs in a medium-seized community. The following issues were explored in this study: 1) reason of unemployment; 2) income differences after unemployment; 3) major income sources; 4) utilization of the unemployment programs; 5) needed social services for reemployment; 5) health conditions; 6) psycho-social conditions and problems; 7) social welfare needs for the families and children. In all, three-hundred-sixty-five unemployed persons in Cheonan City were interviewed. Implications and strategies are discussed for developing effective education, training, and welfare programs for the low income unemployed persons and their families, as well as developing community network for low income and unemployed families in the community.