Americans are now relying on GoFundMe to cover basic necessities — yes, the economy is that bad
The American economy is getting more uncertain with an affordability crisis, layoffs and tariffs. People are doing whatever it takes to generate income. Fundraisers were previously used for medical emergencies and other philanthropic initiatives, but things are changing. A recent report shows that Americans have turned to GoFundMe to help themselves fundraise for basic economic needs. It’s not uncommon for people to do this, but the scale at which this has happened recently is extraordinary.
As per a report in FOX News, the second-fastest growing category on GoFundMe in 2025 was ‘monthly bills’, trailing only behind ‘charity.’ The data comes from GoFundMe’s ‘Year in Help’ review, which also found that the most common words in fundraisers in 2025 were "work," "food," "bill," "home," "care," and "love." The organization said that essential expense fundraising increased by 20%, and more fundraisers were started for food banks than for any other community cause.
This is not surprising considering the inflation in the country at the moment. People have no choice but to be wary of their money. A CBS report states that inflation and the economy were the top concerns for Americans. It also said that fundraisers to raise money for necessities like rent, groceries, housing, and fuel surged 17% in 2025. As far as GoFundMe CEO Tim Cadogan is concerned, this is a trend that he has been seeing for a number of years now.
"For example, we saw people say they were behind on the month's rent and were looking for friends and family to help them get through the next month or two,” he said, before explaining, "This shows us that life is getting more expensive and folks are struggling with that, so they are reaching out to friends and family to see if they can help them through."
A real-life example of people using the platform for basic necessities is a woman named Iesha Shepard. The 34-year-old was unable to pay rent after health issues saw her miss work at her part-time hotel job. Shepard’s health had been marred due to heart issues for a number of years, and the single mother of two daughters had no choice but to seek help on the internet ahead of the holiday season.
This was because she was sent an eviction notice by her landlord for non-payment of rent. "I don't want to be homeless with my children around the holiday time," she said. The trend of using fundraisers to raise money for necessities picked up during the shutdown, which saw several people get laid off. The federal agencies also blocked the distribution of food stamps as aid during this period, which saw such fundraising campaigns grow six times.
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