Paycheck-to-Paycheck Living Reaches Four-Year High in the U.S., According to Debt.com Survey
FORT LAUDERDALE, Fla., July 14, 2025 /PRNewswire/ -- A growing number of Americans are struggling to stay financially afloat, with 69% reporting living paycheck to paycheck, according to the latest Debt.com annual budgeting survey of 1,000 adults. That's the highest percentage recorded since the organization began tracking this data — and a sharp jump from 60% just one year ago.
The survey, now in its eighth year, reveals a troubling paradox: while budgeting has become a regular habit for many, the pressures of inflation, stagnant wages, and rising costs are overwhelming even the most disciplined consumers.
People who report living paycheck to paycheck has surged:
- 2022: 50%
- 2023: 50%
- 2024: 60%
- 2025: 69%
For the first time since 2018, the number of Americans who say they're budgeting has dropped — and experts warn that may be an early economic alarm bell. "This is the clearest sign yet that budgeting, while essential, is no longer enough," said Don Silvestri, President of Debt.com. "And the fact that fewer people are budgeting is deeply concerning. It's possible we're not just seeing financial stress — we're seeing early signs of a broader recession."
Last year, 9 in 10 Americans reported using a monthly budget. This year, however, that figure dropped for the first time to 86%. That's still high, but it marks a reversal of a long-term trend.
"The people who aren't budgeting right now may be in serious trouble," said Silvestri. "They're the ones most likely to be overwhelmed by rising prices and to fall deeper into debt."
Gender Gaps in Budgeting and Struggles
- 72% of women report living paycheck to paycheck, compared to 65% of men.
- The top reason women cite for not budgeting is low income at 41%, compared to 31% of men.
- Men are twice as likely to say budgeting takes too much time, 24% vs. 12%.
- 51% of men say they've stayed out of debt without a budget, compared to 45% of women.
A Call for Stronger Financial Tools
As financial pressures mount, Debt.com urges action — not just from consumers, but from policymakers and employers alike.
"Americans are doing their part," Silvestri emphasized. "They're budgeting. They're trying. But the numbers show that's no longer enough. We need to equip people with stronger tools and real support systems — because if fewer Americans are budgeting, and more are falling behind, we may be heading toward more than just personal financial crises."
About Debt.com
Debt.com is a trusted source for consumers seeking help with credit card debt, student loans, tax debt, credit repair, and more. By connecting people with vetted financial professionals and educational tools, Debt.com empowers Americans to make smart money decisions and regain control of their finances.
SOURCE Debt.com
Share this article