ECONOMY & WORK
MONEY 101
NEWS
PERSONAL FINANCE
NET WORTH
About Us Contact Us Privacy Policy Terms of Use DMCA Opt-out of personalized ads
© Copyright 2023 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.
MARKETREALIST.COM / ECONOMY & WORK

Wealthy Americans are cutting back expenses as they feel financial pinch

Nearly 30.8% of consumers making between $100,000 and $149,999 a year are concerned about making ends meet
UPDATED JUL 2, 2024
Image Source: Photo by Bastian Riccardi | Pexels
Image Source: Photo by Bastian Riccardi | Pexels

A recent report reveals how Americans, who are making six-figure salaries, are extremely worried about making ends meet. The survey finds that consumers who were previously considered wealthy are now struggling to buy essentials, via CNN.

A large number of wealthier Americans is trying to cut back on their expenditure and opting to stay home as much as possible to save money. The findings are reflective of the high inflation and the soaring borrowing costs that continue to create financial pressure on Americans.

According to the survey, nearly 30.8% of consumers making between $100,000 and $149,999 a year are concerned about making ends meet in the coming six months, as per the Philly Fed Survey. The metric is higher than the earlier number, which was 21.3%. Similarly, 32.5% of those earning $150,000 or more indicated that they were worried about paying the bills.

Photo by Karolina Grabowska: https://www.pexels.com/photo/quote-board-on-top-of-cash-bills-4386367/
Pexels | Photo by Karolina Grabowska

The survey also showed how the richer families were struggling more than the 23% of those making $70,000 to $99,999, according to the survey. About one in three (34.9%) said they are concerned about making ends meet, up from 28.7% a year earlier, as per CNN Business.

Furthermore, younger Americans are more likely to be feeling financial pressure than older. More than 40% of those between the ages of 18 and 35 years old said that they were concerned about making ends meet as compared to people who were above 65 years old.

The survey also found that 32.3% of those making $100,000 to $149,999 are worried about paying their bills in the next 7 to 12 months, which is up from 26.5% a year ago. There was an even bigger increase among those making at least $150,000, and 33% saying they are concerned, up from 19.8% a year ago, as per the survey.

The increase in the numbers is large and significant and may be on the rise in the coming years, as per the report.

Unsplash | Photo by Alexander Grey
Unsplash | Photo by Alexander Grey

On the bright side, the growing share of wealthier consumers expects higher incomes this year, which includes 40.8% of those making $150,000. Consumers also felt optimistic for the years ahead. Moreover, it was also seen that consumers indicate 43.1% of consumers indicate they are cutting on things like entertainment as well as essentials like medical care, food, and more. Other steps include taking additional jobs, borrowing more, and also taking money out of retirement savings before maturity.



 

Another poll conducted by Monmouth University’s Polling Institute found that 46% of Americans surveyed said they are struggling to remain where they are financially.

"Even with a declining inflation rate, prices continue to be much higher than they were four years ago," said Patrick Murray, director of the Monmouth University Polling Institute. "That’s the metric that has really mattered to many Americans over the past two years. Economic concerns may not be the top motivating factor for all voters but it defines the contours of this year’s election."

MORE ON MARKET REALIST
Jennings is loved by fans of the show ever since he became one of its most dominant contestants.
10 hours ago
The founder didn't budge even an inch from the valuation that she found to be accurate.
11 hours ago
The player later confessed that he went blank and gave the wrong answer.
14 hours ago
She had no idea who the painter was and what it might be worth, so her shock was understandable.
15 hours ago
She knew the answer long before the timer started ticking down and won a massive chunk of money.
16 hours ago
The contestant made several errors while playing one of the show's most time-sensitive games.
1 day ago
Ari Siegel started 'History by Mail' in 2019 after witnessing a powerful historic document in the Library of Congress.
1 day ago
Her name isn't usually mentioned on the show for obvious reasons, so this was a rarity.
1 day ago
The car was an infamous piece of hip-hop history and could fetch big money at auctions.
1 day ago
The iconic action movie had a dialogue that had a reference to the show popular back then as well.
1 day ago
Cuban kept resisting a joint deal, but then all other sharks decided to give him a higher share.
1 day ago
The insider account contradicts a statement that Bialik had released regarding her exit.
1 day ago
Seacrest took the opportunity to congratulate the second-time 'honeymooners' with a risqué joke. 
2 days ago
The duo has expanded their business with more product lines since they gained exposure.
2 days ago
This information could help a lot of contestants do well on "The Price is Right" but there's a risk.
2 days ago
The contestant was doing it in her heels and Seacrest was at first surprised.
2 days ago
Jennings couldn't keep his thoughts in after listening to the contestant's story.
3 days ago
The woman wasn't the only one who had made such an alarming discovery.
3 days ago
The competitor was able to make a comeback and walk out as the champion, which is impressive.
3 days ago
The show sees several valuable items whenever it films, and their safety is absolutely imperative.
3 days ago