A growing number of Americans are feeling the pressure to earn higher incomes just to maintain a comfortable lifestyle, according to a recent survey by Bankrate. The survey highlights a significant shift in the financial aspirations of many, as nearly half of respondents believe they need to earn at least $100,000 annually to live comfortably. Moreover, a quarter of those surveyed indicated that a minimum income of $150,000 is necessary to feel at ease financially.
To feel wealthy, more than half of the participants stated they would require an annual income of at least $200,000, while 25% believe that a million-dollar income is the benchmark for financial richness. This data comes from a survey conducted by Bankrate, which polled 2,260 adults across the United States to gauge attitudes toward financial security.
The findings reveal a growing concern among many Americans about their financial well-being. An overwhelming 77% of respondents described themselves as not financially secure, an increase from 75% in 2024 and 72% in 2023. Bankrate’s economic analyst, Sarah Foster, noted in the analysis, “Times have shifted. Getting rich may have once been what many Americans fantasized about, but now simply living comfortably feels like the new aspiration, as economic challenges make financial stability a rare luxury.”
As of 2023, the most recent data available indicates that the median income for a full-time worker in the U.S. was just over $60,000, according to Census figures. Despite this sobering statistic, there is a glimmer of hope as average wage growth continues to outpace inflation, which has been gradually declining since its peak during the COVID-19 pandemic in 2022. The Consumer Price Index in May showed a modest increase of 2.4%, slightly higher than April’s 2.3% rate.
Generational differences also emerged in Bankrate’s findings. Gen Xers, aged 45 to 60, were the most likely to express dissatisfaction with their financial status, with 84% indicating they are not where they want to be financially. Additionally, 35% of Gen Xers reported needing an income of $150,000 or more to feel financially comfortable. In comparison, 80% of Gen Z respondents, aged 18 to 28, said they do not feel financially secure.
The survey also revealed gender disparities in perceptions of financial security. Women reported feeling less confident about their financial situation than men, with more than one in three (35%) stating they are not financially secure and may never be. This highlights an ongoing issue of financial insecurity among women in the workforce.
These findings underscore the changing landscape of financial aspirations in America, where the goal of wealth accumulation is increasingly being replaced by the pursuit of a stable and comfortable life. As economic challenges persist, many Americans are recalibrating their expectations and focusing on achieving financial security rather than wealth.
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Note: This article is inspired by content from https://www.cbsnews.com/news/six-figures-comfortable-financially-bankrate/. It has been rephrased for originality. Images are credited to the original source.