Inflation is at a 40-year high where there is no sign of slowing down. People are feeling less purchasing power of USD One in five Americans now runs out of liquid funds before pay, According to a survey by Salary Finance as reported by CNBC. More than three-quarters said they were feeling the effects of inflation last year. About 20% of the 3,000 respondents said they had run out of money in their paychecks, marking a 15% increase from 2021.
About 25% find it difficult to carry essential items such as food, gas and health care. Automobile prices are at an all-time high due to chip shortages, and gas prices continue to rise every day. One-third of voters do not have the means to save money, and those who do contribute less.
Without savings, homeownership is out of reach for many. According to the Department of Labor, housing prices have risen more than 7.02% since 2020, but this is based on prices across the board. In reality, any desired area costs more.
Although wages have risen by about 5%, the cost of living has surpassed any additional funds. Let’s not forget that taxes have not come down and those in charge are constantly planning to spend money on agendas that do not promote the quality of life of taxpayers. Gone are the days when low- to middle-income Americans could work hard and live comfortably; People are just trying to stay afloat.
(Fed Chair Powell acknowledges that inflation was no longer “transient” in November 2021)