Biden’s America: 60% Of Citizens Are Living Paycheck To Paycheck 

( Consumers are still spending, but not as much as they did a year ago, allowing them some financial breathing space despite the rising costs. 

According to recent research by LendingClub, 6 out of ten Americans (including nearly half of the people with high incomes) are on tenuous ground. They are living paycheck to paycheck. This is down from 64% a year ago, demonstrating that some consumers’ financial conditions have improved due to last year’s expenditure cuts. 

Anuj Nayar, LendingClub’s financial health officer, said that consumers have recognized that inflation is a part of daily life and are actively implementing behavior adjustments, particularly during the 2022 holiday shopping season.  

Although it may be difficult to alter certain spending habits, the latest inflation figure from the core personal consumption expenditures index last Friday was hotter than predicted. In contrast to the expected 1.4% increase, consumer expenditure actually rose by 1.8% last month. 

As the cost of living rises, more and more people are turning to credit cards to make ends meet, as shown by numerous studies. 

The newest research by TransUnion shows that by the end of 2022, credit card debt had reached a record $930.6 billion, an increase of 18.5% from the previous year and that the average credit card load had risen to $5,805. 

The Federal Reserve Bank of New York also revealed that total household debt rose by 2.4% to $16.9 trillion in the fourth quarter of last year. 

Another survey by shows that 46 percent of cards now routinely carry a balance from month to month, up from 39 percent the year before. 

More than a third of Americans have credit card debt; senior industry analyst at Bankrate Ted Rossman recommends utilizing a portion of your tax return to pay off this high-cost debt. 

Ted Jenkin, Founder of oXYGen Financial in Atlanta, said you must first reduce your expenditures. 

He emphasized the importance of making your savings count. Even while interest rates on deposits are increasing, the cost of living is rising faster than even the highest-return savings account can keep up with. 

Jenkin suggests investing in low-risk Treasury bonds with shorter maturities and laddering them to maximize returns. 

Not a significant profit, but no loss either.