How Two-Thirds of American Consumers Managed Their Paychecks in 2024

Profound shifts in consumer behavior and priorities characterized 2024. As of November, 67% of consumers live paycheck to paycheck. In fact, this is the highest rate we’ve found since 2020. Even high-income households have felt the impact. Rising costs, inflation and static incomes are driving this trend. Furthermore, we find that one-quarter of consumers have experienced a downgrade in their financial lifestyle in the past two years.

The results could have wide economic repercussions. For example, 94% of paycheck-to-paycheck consumers have changed their retail shopping behavior due to perceived price increases. Additionally, these consumers spend an average of 43% of their income on housing, leaving less for other needs and emergencies.

High debt burdens and low savings are common among those struggling financially. Many consumers struggling to pay bills suffer from poor financial management skills, revealing a lack of confidence that contributes to the cycle of financial instability.

Read the December 2024 eBook to learn more about the financial realities paycheck-to-paycheck consumers faced in 2024.

Learn more about how rising costs impacted consumers’ spending behaviors.

Explore the disparity in savings levels between consumers across financial lifestyles.

Gain insight into how credit is shaping consumers’ financial standing.

Discover why housing costs create a financial strain for many households.

Download the eBook here.

This eBook explores how today’s new economic reality is reshaping how consumers spend, save and manage their finances. Ten charts of insightful data detail how consumers’ financial behaviors are shaping the broader economic landscape. Download the eBook to learn more about consumers’ 2024 spending, saving and credit trends.

About the eBook

“The New Reality Check — 10 Impact Statements eBook,” a PYMNTS Intelligence exclusive, is based on monthly editions of “New Reality Check: The Paycheck-to-Paycheck Report,” published in 2024. This eBook is drawn from a series of surveys conducted between March 2024 and December 2024 that examined the factors influencing U.S. consumers’ financial lifestyles. These reports were based on survey samples that are census-balanced to match the U.S. adult population in a set of key demographics, along with an analysis of other economic data. The eBook provides valuable insights into the impact of inflation on consumers’ financial behaviors.