67% of Americans Live Paycheck to Paycheck in 2025
A new financial wellness report finds that 67% of Americans are living paycheck to paycheck in 2025, up from 63% in 2024. Rising costs, inflation, and an uncertain job market are squeezing households across the country.
Why So Many Are Struggling
- Inflation: Grocery costs are up nearly 25% since 2020.
- Housing: Mortgage holders and renters alike are facing higher costs.
- Job market: Wages rose 3.6% over the past year, but unemployment sits at 4.3%.
Together, these pressures are making it harder for families to save or pay off debt.
How to Break the Cycle
While you can’t control inflation or housing costs, you can take small steps to build financial resilience:
- Create a realistic budget using apps or online tools.
- Cut unnecessary expenses like unused subscriptions.
- Pay down debt strategically, using methods like the snowball approach.
- Start saving, even small amounts—$10 or $20 per paycheck adds up.
- Explore additional income sources to diversify earnings.
The Bottom Line
Living paycheck to paycheck is the reality for most Americans right now. But with a realistic financial plan—focused on cutting costs, paying down debt, and building savings—you can cushion your finances against uncertainty and move toward stability.
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