Rising Costs Push More Americans to Live Paycheck to Paycheck

A Bank of America study reveals that a growing number of U.S. households, across all income levels, are spending nearly all their earnings on essential expenses.

Approximately 26% of American households use over 95% of their income for necessities, marking a 10% increase over five years.
Even high-income earners, with annual incomes over $150,000, are not immune, with 20% living paycheck to paycheck.
The largest group affected is households earning less than $50,000 annually, with 35% in this category.
Rising prices and lifestyle inflation contribute significantly to the financial strain across various income brackets.
Generational trends show an increase in paycheck-to-paycheck living from Gen Z to Baby Boomers, with the South Atlantic region most affected.