“Amid persistent inflation, 54% of Americans are using savings to pay for everyday expenses”
February 17, 2023
“…Prices continued their upward momentum in January, rising 0.5% for the month and 6.4% over the past 12 months, according to the latest consumer price index data released by the U.S. Bureau of Labor Statistics.
To make ends meet, 27% of Americans said they’ve had to take money out of savings and more than half, or 54%, said they used that money to pay for everyday expenses, such as groceries and rent, the recent Country Financial Security Index found…
Roughly 64% of Americans are now living paycheck to paycheck, according to a LendingClub report — up from 61% a year earlier and in line with the historic high first hit in March 2020…”
https://www.cnbc.com/2023/02/16/54percent-of-americans-are-dipping-into-savings-to-pay-for-everyday-expenses.html
This is why its not a good idea to live above your means. Recession will force everyone to cut back if they like it or not. One of the main problems people have is they wait until they get in debt then try to dig their way out. Don’t do this. Avoid bad debt. If the debt you’re creating doesnt create cashflow it’s bad debt.