Inflation locked atop list of financial problems: Gallup

Inflation remains at the top of Americans’ minds when it comes to their financial woes, according to a survey released Thursday.

The Gallup poll found 41 percent of Americans listed inflation or a high cost of living as “the most important financial problem facing” their families, ranking ahead of issues such as taxes and energy costs.

This is the third consecutive year inflation has topped the list. It also marks a slight increase from last year, when 35 percent of survey respondents said inflation or a high cost of living was to blame for their financial troubles, per the survey.

“In addition to being named the most important financial problem facing their family, inflation also ranks as one of the domestic problems Americans worry most about,” Gallup researchers wrote. “The issue trails only immigration, the government and the economy in general when Americans are asked to name the most important problem facing the country.”

The Federal Reserve recently voted to maintain interest rates at a 23-year high while inflation has ticked up and there is a strong labor market. 

According to data released last week from the Commerce Department, inflation rose in March due to an increase in spending and higher incomes. The personal consumption expenditures price index, a preferred measure of inflation by the Fed, rose 0.3 percent in March and 2.7 percent over the past year overall.

The survey results also show a slight drop in those who said their financial situation “as a whole” is “getting worse” — dropping to 47 percent from 50 percent last year. The number of those who said their situation was “getting better” also rose in comparison from last year, from 37 percent to 43 percent.

Other significant problems, per the poll, include having too much debt (8 percent), health care costs (7 percent), lack of money or low wages (7 percent) and energy costs or gas prices (6 percent).

When broken down by age, older adults are more likely to list inflation as a top issue impeding their finances. In the survey, 46 percent of adults 50 or older mentioned inflation, compared to only 36 percent of those younger than 50.

Those who bring in a higher income were also more likely to list inflation as a financial burden, the survey found.

The Gallup poll was conducted from April 1-22, with a sample of 1,001 people and a margin of error of 4 percentage points.