A new LendingClub report has shown that 64% of Americans were living paycheck to paycheck by the end of 2022. The surging number was up from 61% a year prior and near a record high that was reached in March of 2020 according to CNBC.
High inflation rates have affected a plethora of Americans, with a similar report noting that six-figure earners make up a large portion of this collective. Specifically, more than half of all households earning more than $100,000 said they were also living paycheck to paycheck.
Inflation Continues Effecting Americans
Last year marked constant interest rate hikes from the Federal Reserve to combat growing inflation, and although the moves have had a positive effect, there is no understating of how that inflation has impacted everyday Americans.
A recent report posted by LendignClub has shown 64% of Americans are living paycheck to paycheck. Moreover, the number is up from the 61% mark in 2021, and an all-time high that was reached in March 2020.
LeindingClub’s financial health officer, Anuj Nayar, spoke about the harrowing statistical revelation. “The effects of inflation are eating into every American’s wallet and as ht eFed’s efforts to curb inflation drive up the cost of debt, we are seeing near-record numbers of Americans living paycheck to paycheck,” Nayar stated.
Unemployment numbers are low, and wage growth has continued on the upswing, but both are having difficulty complaining about inflation rates at their current standing. Conversely, the reality is forcing many Americans to forgo any budgetary practices, for the sake of being able to afford day-to-day expenses.