More than 60 percent of Americans in the middle class said they are “struggling financially” and do not expect things to turn around for the rest of their lives, according to a poll released Tuesday.
The poll, commissioned by the National True Cost of Living Coalition, found that around 65 percent of Americans who are considered “middle class,” earning above 200 percent of the federal poverty level (FPL), are in a financial struggle.
Despite the economy showing signs of strength, with an increasing number of jobs, gross domestic product (GDP) growth and a steady stock market, consumers are struggling to plan and save, according to the poll.
The poll found that 40 percent of all Americans are not able to plan beyond their next paycheck. Additionally, 46 percent do not have $500 saved for emergency costs.
“The economy is booming, and yet many Americans are still gasping for air financially. They simply don’t have the breathing room to plan beyond their present needs,” said Jennifer Jones Austin, CEO and executive director of the Federation of Protestant Welfare Agencies, an organization that helped commission the poll.
“As a nation, it is critical that we understand the true cost of living in the United States today,” Jones Austin said. “That means looking beyond the most basic of economic needs to account for what 21st century Americans need to not only get by but get ahead and also plan for tomorrow.”
The survey also found that 80 percent of Americans have at one time lived paycheck to paycheck.
The poll was conducted in February by Seven Letter Insight among 2,500 adults, according to Bloomberg. The poll had margin of error of plus or minus 2 percentage points.