Back to Data & Guides
Back
Rising prices, growing debt, and ongoing financial pressures are shaping how many American households manage their budgets and think about the future. In fact, a previous study conducted on behalf of Self Financial in October 2025 found that 88.7% of respondents had been living paycheck to paycheck at some point in the 12 months prior.
To better understand these financial challenges, a new survey conducted on behalf of Self Financial asked 1,010 U.S. adults about the financial pressures affecting their daily lives and long-term security. The results highlight which money concerns weigh most heavily, how long these worries have lasted, and the events or circumstances that have brought them to the forefront.
The survey found that nearly all U.S. adults surveyed are currently facing at least one financial concern, with 93.6% of respondents reporting ongoing economic worries.
When asked to name their single biggest financial concern, respondents most often cited paying their monthly bills (20.4%). This was followed by the rising cost of living and inflation (15.9%), credit card or personal debt (10.8%), and housing expenses such as rent or mortgage payments (10.3%).
Paying monthly bills is the top concern for U.S. adults (20.4%) followed by the rising cost of living and inflation (15.9%) and credit card or personal debt (10.8%).
| Single biggest financial concerns | ||
|---|---|---|
| Rank | Financial concern | Percentage of participants |
| 1 | Paying monthly bills | 20.4% |
| 2 | Rising cost of living/inflation | 15.9% |
| 3 | Credit card or personal debt | 10.8% |
| 4 | Housing costs (rent or mortgage) | 10.3% |
| 5 | Medical or healthcare expenses | 9.2% |
| 6 | Business or self-employment costs | 8.4% |
| 7 | Investments or stock market losses | 7.9% |
| 8 | Job security or income stability | 7.3% |
| 9 | Saving for retirement | 5% |
| 10 | Student loans | 3.4% |
| 11 | Childcare or dependent care costs | 1.3% |
By contrast, childcare costs (1.3%), student loans (3.4%), and saving for retirement (5%) were the least likely to be cited as respondents' top financial concerns. Despite this, recent research suggests childcare expenses are becoming a growing financial burden in the U.S., rising 1.5 times faster than inflation and increasing by 5.2% between September 2024 and September 2025. [1] Bank of America Institute, 'The many costs of childcare', 2025 https://institute.bankofamerica.com/content/dam/economic-insights/childcare-costs.pdf During the same period, the share of households paying for childcare declined by 1.6%. [1] Bank of America Institute, 'The many costs of childcare', 2025 https://institute.bankofamerica.com/content/dam/economic-insights/childcare-costs.pdf
As part of the research, respondents’ follow-up answers were grouped according to their primary financial concern to better understand how each of these issues are affecting their day-to-day lives.
Among respondents who said paying their monthly bills was their biggest financial concern, more than a quarter (26.9%) reported struggling with this issue for over two years.
When asked how this concern had changed over the past three months, nearly a third (30.6%) said it had become much worse, while only 4.1% reported that it had improved significantly.
| Financial concern development in the last three months | |
|---|---|
| Much worse | 30.6% |
| Somewhat worse | 29.0% |
| About the same | 23.3% |
| Somewhat better | 13.0% |
| Much better | 4.1% |
Among respondents who identified paying monthly bills as their biggest financial concern, the most commonly cited cause was the rising cost of living and inflation (19.1%). This was followed by a loss or reduction of income (15.3%) and simply not earning enough money (13.3%). According to the Bureau of Labor Statistics, the unemployment rate has gradually increased from 3.7% in January 2024 to 4.4% in February 2026. [2] U.S. Bureau of Labor Statistics, 'Civilian unemployment rate', 2026 https://www.bls.gov/charts/employment-situation/civilian-unemployment-rate.htm
This pressure is also limiting their ability to build financial security. About one in six (15.1%) said struggling with monthly bills has prevented them from saving for emergencies, 13% said it has stopped them from paying off debt, and one in ten (10%) said it has kept them from investing or growing their wealth.
When asked what would help them overcome the challenge of paying monthly bills, the most common response was a higher income or a better-paying job (22.2%). This was followed by lower living costs, such as rent, groceries, or utilities (17.4%), and paying off existing debt (14%).
Higher income or a better-paying job is the answer to overcoming the concern of paying monthly bills for over one in five (22.2%).
In addition to this, when respondents were asked how much money would help them overcome this challenge, the average amount cited was $13,730.
Looking ahead to the next six months, 28.5% of respondents said they were confident they would be able to overcome this concern. In contrast, nearly one in five (18.1%) said they definitely did not expect to overcome it. Another 21.8% said they probably would not be able to resolve the issue, close to those who said they probably would at 22.8%.
Almost one in five (18.1%) say they’re highly doubtful that they will be able to overcome this concern in the next six months.
Among respondents who said paying monthly bills was their biggest concern, confidence levels were mixed. Almost a third (30.6%) said they were not very confident in their ability to manage this issue, while a quarter (25.9%) described themselves as very confident.
More than three quarters (78.2%) said they had already taken steps to address it. The most common actions included cutting discretionary spending, such as dining out or entertainment (16.6%), taking on additional work or side income (16.3%), and creating or revising a budget (13.2%).
Reducing discretionary spending was the most common action to tackle concerns relating to paying monthly bills (16.6%).
Despite these efforts, over a third (36.3%) said they had occasionally borrowed money or used credit to manage the situation.
The emotional impact of paying monthly bills is considerable. Nearly a quarter of respondents (24.1%) said this concern caused stress or anxiety, while 18.1% reported effects on their mental health, such as mood or concentration. Difficulty sleeping was noted by 17.3%.
Stress levels were particularly high, with more than half (56.9%) rating their stress related to this issue as five out of five. In comparison, just 0.6% rated it as one out of five. Over two-fifths (45.6%) said they worry about this concern daily, while only 4.1% said they never worry about it.
Over half (56.9%) rate their stress levels concerning paying monthly bills five out of five.
Although almost half (48.7%) said they did not plan to consult a financial professional about this concern, 13% said they intended to do so in the future. Among those who had not sought professional help, the most common reason was cost, with 30.3% saying they could not afford advice. This was followed by a preference to handle finances independently (16.1%) and feeling embarrassed or uncomfortable discussing financial matters with someone else (12.9%).
Among respondents who identified the rising cost of living and inflation as their number one financial concern, clear patterns emerge. When asked how long they had been dealing with this issue, the largest group (30.7%) said it had been between six months and one year. According to the Bureau of Labor Statistics, prices for essentials such as food (2.7%), medical care services (3.7%), and energy (10.9%) rose in the 12 months prior to March 2026, illustrating how these increases impact everyday life. [3] U.S. Bureau of Labor Statistics, 'Consumer Price Index Summary', 2026 https://www.bls.gov/news.release/cpi.nr0.htm
When asked whether this concern had changed over the past three months, 32.7% said it had stayed about the same, while 18.7% said it had become much worse.
Among this group, just 3.3% reported no changes to their spending habits to address rising costs. In contrast, 54% said they had reduced a significant portion of their spending, and 42.7% said they had cut back in some areas.
| How has the rising cost of living affected spending habits? | |
|---|---|
| Spending habits have stayed the same | 3.3% |
| Cut back on many things | 54.0% |
| Cut back on some things | 42.7% |
It appears that a substantial reduction in spending may be needed to address this financial concern. When asked how much money would help resolve the issue, respondents who named the rising cost of living as their top concern reported an average amount of $16,232.
On average, participants said they would need over $16,000 in order to combat the rising cost of living.
The areas where respondents most commonly reduced spending were dining out or takeout (13.8%) and entertainment expenses (12.7%). In contrast, education or training (2.8%), health or medical expenses (4.9%), and housing costs such as rent or mortgage (5%) were the least likely to be cut back on.
| The most common things to cut back spending on | ||
|---|---|---|
| Rank | Reduced spending | Percentage |
| 1 | Dining out / takeout | 13.8% |
| 2 | Entertainment (movies, concerts, events) | 12.7% |
| 3 | Hobbies or personal interests | 11% |
| 4 | Travel or vacations | 10.6% |
| =5 | Clothing / fashion | 9.4% |
| =5 | Subscriptions (streaming services, apps, gyms) | 9.4% |
| 7 | Groceries / household essentials | 8.5% |
| 8 | Retirement contributions / pension savings | 5.8% |
| =9 | Transportation or vehicle-related expenses (e.g., car payments, fuel, repairs) | 5% |
| =9 | Housing-related expenses (e.g., maintenance) | 5% |
| 11 | Health or medical expenses | 4.9% |
| 12 | Education or training | 2.8% |
Although 63.3% of respondents in this group said they were somewhat confident in their ability to manage this concern, almost a third (31.3%) felt it was unlikely they would overcome it in the next six months. In comparison, 13.3% said they definitely did not expect to overcome the issue, while 14.7% said they were certain they would.
One reason for the confidence of this 14.7% may be that many have already taken action. Among this group, 82.7% reported having taken steps to address the concern. The most common actions included reducing discretionary spending (18%) and taking on additional work or a side hustle (15.9%).
Among respondents who identified credit card or personal debt as their biggest financial concern, slightly over one in ten (11.1%) said it was driven by unexpected medical or health expenses, while a slightly higher amount (11.8%) attributed it to a loss or reduction of income.
Over a third (35.3%) reported struggling with this issue for more than two years. In the past three months, 43.1% said their situation had remained the same, while 27.5% said it had become somewhat worse.
Among respondents who identified credit card or personal debt as their top concern, paying off existing debt (26.6%) and earning a higher income or better-paying job (21.5%) were cited as the most helpful solutions. When asked how much money would help resolve this issue, the average amount reported was $19,542.
The average amount participants would need to overcome their credit card and personal debt concerns is $19,542.
However, the research shows that Americans are taking action to address this concern even without a large lump sum. Among respondents, 82.4% reported having already taken steps to manage their debt. The most common strategies included taking on additional work or side income (18.6%), reducing discretionary spending (17.9%), and creating or revising a budget (13.1%).
| Steps taken to tackle credit cards and personal debts | ||
|---|---|---|
| Rank | Steps taken | Percentage of participants |
| 1 | Took on additional work or side income | 18.6% |
| 2 | Reduced discretionary spending (e.g., dining out, entertainment) | 17.9% |
| 3 | Created or revised a budget | 13.1% |
| 4 | Paid down debt (credit cards, loans) | 9.3% |
| =5 | Used savings or emergency funds | 7.1% |
| =5 | Deferred or delayed expenses (e.g., bills, medical care) | 7.1% |
| 7 | Sold assets or belongings to cover expenses | 5.8% |
| 8 | Relied on family/friends for financial help | 3.8% |
| 9 | Refinanced loans or negotiated bills | 3.5% |
| 10 | Sought financial advice or planning services | 3.2% |
| 11 | Changed living situation | 2.9% |
| 12 | Applied for government assistance or support programs | 2.6% |
| 13 | Invested in financial tools or apps | 1.3% |
| 14 | Not taken any steps yet | 2.2% |
Although 58.8% of respondents said they were somewhat confident in their ability to manage credit card and personal debt, 18.6% reported being not very confident, and a further 5.9% said they were not confident at all.
Looking ahead, 22.5% said they definitely did not expect to overcome this concern within the next six months, while 29.4% said it was unlikely.
The prolonged stress of this issue also appears to be affecting wellbeing. One in five (20.4%) reported that credit card and personal debt had impacted their mental health, and over one in ten (11.8%) said it had caused strain in their relationships with friends or family.
One in five (20.4%) experienced poor mental health as a result of credit card and personal debt.
Over two-fifths of respondents (41.2%) admitted that they have had to frequently borrow money or take on additional credit to manage this issue.
This cycle of borrowing appears to be taking a significant toll on participants. When asked to rate their stress levels related to this financial concern, 34.7% gave it a four out of five, while 40.9% rated it the maximum five out of five.
| Stress level | |
|---|---|
| 1 | 0.0% |
| 2 | 2.0% |
| 3 | 22.3% |
| 4 | 34.7% |
| 5 | 40.9% |
*One being not at all stressed and five being extremely stressed.
Among respondents who identified housing costs as their biggest financial concern, most had been dealing with the issue for just three to six months (26.8%) or six months to one year (32%). However, nearly one in five (18.6%) reported struggling with it for more than two years.
Over half (56.7%) said this concern had worsened in the past three months, while one in five (20.6%) said it had improved.
When asked what was driving this financial strain, the most common response was high housing costs such as rent or mortgage, selected by 18.3% of this group. Combined with the rising cost of living, this may explain why housing costs are a top concern for 10.3% of respondents.
Following a pattern similar to other financial concerns, 72.2% said they had cut back on many expenses to manage this issue. Notably, no one in this group reported making no changes. The most common cutbacks included dining out or takeout (13.8%), entertainment (13.4%), and travel or vacations (11.2%).
When asked what would help them address this concern, respondents most often cited a higher income or a better-paying job (22.4%). This was followed by lower living costs, such as rent or utilities (19.9%), and paying off existing debt (12.9%).
| What would help to overcome concerns for housing costs? | ||
|---|---|---|
| Rank | What would help to overcome housing cost concerns? | Percentage |
| 1 | Higher income or a better-paying job | 22.4% |
| 2 | Lower living costs (e.g., rent, groceries, utilities) | 19.9% |
| 3 | Paying off existing debt | 12.9% |
| 4 | Job security / more stable employment | 10.7% |
| 5 | Emergency savings or financial cushion | 8.8% |
| 6 | Government support or policy changes | 7.3% |
| 7 | Better access to financial advice or planning | 5.4% |
| 8 | Improved health or reduced medical expenses | 4.7% |
| 9 | Financial education or literacy resources | 3.8% |
| 10 | Support from family/friends | 2.8% |
By contrast, respondents were least likely to say that support from friends and family (2.8%), financial education (3.8%), or improved health (4.7%) would help ease their concerns about housing costs.
Over two-fifths (45.4%) of participants in this group said they have frequently borrowed money to manage their housing cost concerns, with another 29.9% saying they have done so occasionally.
At the same time, 44.3% of this group reported having already consulted a financial professional to help address the issue, which may potentially explain why 29.9% said they feel confident they will be able to overcome it within the next six months.
Among those who had not sought professional help, the most common reasons were cost (27.8%), a preference to handle finances themselves (21.1%), and uncertainty about which type of professional to turn to (13.3%).
| Reasons why participants haven't spoken to a professional | |
|---|---|
| Too expensive / cannot afford professional advice | 27.8% |
| Prefer to handle finances themselves | 21.1% |
| Don’t know which type of professional to ask | 13.3% |
| Don’t know where to find a trustworthy professional | 12.2% |
| Embarrassed or uncomfortable discussing finances with someone | 10.0% |
| Don’t think professional advice would help | 9.4% |
| I have spoken to a professional to overcome this concern | 5.0% |
Among respondents who identified housing costs as their top concern, nearly one in five (18.7%) said the stress had led to difficulty sleeping. More broadly, 21.6% reported experiencing stress or anxiety as a result of this issue, while just 1.5% said they had noticed no impact on their wellbeing.
| How has housing costs affected wellbeing? | |
|---|---|
| Caused stress or anxiety | 21.6% |
| Caused difficulty sleeping | 18.7% |
| Affected mental health (e.g., mood, concentration) | 16.4% |
| Affected physical health (e.g., headaches, fatigue) | 15.7% |
| Affected enjoying daily life | 13.8% |
| Caused relationship strain with family or friends | 12.3% |
| No impact | 1.5% |
Among respondents who identified medical expenses as their top financial concern, one in five (20.4%) said unexpected medical or health costs were the main driver of their worry. In 2024, 92% of the population had health insurance for part or all of the year. [4] United States Census Bureau, 'Health Insurance Coverage in the United States: 2024', 2025 https://www.census.gov/library/publications/2025/demo/p60-288.html However, research shows that 12% of Americans experienced a gap in coverage, and 23% were considered underinsured, [5] The Commonwealth Fund, 'The State of Health Insurance Coverage in the U.S.', 2024 https://www.commonwealthfund.org/publications/surveys/2024/nov/state-health-insurance-coverage-us-2024-biennial-survey meaning that in some cases insurance may not fully cover or may not cover at all unexpected medical expenses.
Among respondents who identified medical expenses as their top financial concern, one in six (15.4%) said that having more emergency savings or a larger financial cushion would help them manage this issue. This was followed by a higher income or better-paying job (13.2%), paying off existing debt (12.4%), and lower living costs (12.4%).
Just over one in ten (11.1%) said improved health would help, and an additional 11.1% pointed to better government support or policy changes as a way to ease their medical expense concerns.
| What would help to overcome medical expense concerns? | ||
|---|---|---|
| Rank | What would help participants to overcome this financial concern? | Percentage of participants |
| 1 | Emergency savings or financial cushion | 15.4% |
| 2 | Higher income or a better-paying job | 13.2% |
| =3 | Lower living costs (e.g., rent, groceries, utilities) | 12.4% |
| =3 | Paying off existing debt | 12.4% |
| =5 | Government support or policy changes | 11.1% |
| =5 | Improved health or reduced medical expenses | 11.1% |
| 7 | Job security / more stable employment | 7.7% |
| 8 | Better access to financial advice or planning | 6.8% |
| 9 | Financial education or literacy resources | 5.6% |
| 10 | Support from family/friends | 2.6% |
When asked how their concern had changed over the past three months, 33.3% of respondents said it had stayed the same, while almost a third (29.9%) said it had become somewhat worse. A further 13.8% said it had become much worse, compared with just 2.3% who said it had improved significantly.
| How has this problem developed over the last three months? | |
|---|---|
| About the same | 33.3% |
| Much better | 2.3% |
| Much worse | 13.8% |
| Somewhat better | 20.7% |
| Somewhat worse | 29.9% |
Almost two-thirds of respondents (62.1%) said they have had to cut back significantly to manage medical expenses. The most common areas of reduction were entertainment (16.5%), travel or vacations (13.8%), and dining out or takeout (13.8%).
Beyond reducing discretionary spending (15.4%), the next most common strategies included using savings or emergency funds (12.9%) and taking on additional work or side income (12.1%).
Over one in ten (12.9%) have used emergency savings to combat issues with medical expenses.
When asked how much money would help them manage medical expenses, respondents reported an average of $8,686. Alongside this, over two-fifths (42.5%) said they have had to borrow money or use credit frequently to handle this concern.
Medical expense concerns are taking a noticeable toll on participants’ wellbeing. Over one in five (22.5%) said these worries had affected their mental health, 19.9% reported stress and anxiety, and 19.4% said their physical health had been impacted.
Stress levels were high, with almost three in five (57.1%) rating this concern four out of five, and a further 21.3% rating it the maximum five out of five. Nearly half (49.4%) said they worry about this issue daily, while 35.6% said they worry about it weekly.
Nearly two-thirds of respondents (60.9%) said they have sought help by speaking to a financial professional to manage medical expense concerns, while a further 9.2% said they haven’t yet but plan to.
Among those who have not sought help and do not plan to, the most common reasons were not knowing where to find a trustworthy professional (19.5%) and a preference to handle finances privately (19.5%).
The survey explored Americans’ attitudes toward using AI to manage their finances. Among all respondents, a third (33.1%) said they have used an AI-based tool occasionally to address their biggest financial concern, while nearly one in five (18.9%) reported using it regularly.
By contrast, 19.4% said they haven’t used AI but are considering it, and 28.7% said they have never considered using it.
Over half (51.9%) said they either occasionally or regularly use AI to help overcome their financial problems.
When asked whether they would trust an AI-based financial tool to provide reliable advice, a quarter of respondents (25.6%) said they mostly would, and 17.9% said they would trust it completely. By contrast, 8.5% said they mostly would not trust it, and just 7.9% said they would not trust it at all.
Just 7.9% wouldn’t trust AI at all when it comes to financial advice.
When asked who they would trust most to help resolve their financial concerns, 41.8% of respondents said they would prefer a human financial professional. However, one in five (20.6%) said they would trust an AI-based financial tool more, and 31.8% said they would trust both equally.
Meanwhile, 5.8% said they would not trust either option.
A survey was conducted on behalf of Self Financial between November and December 2025 and asked 1,010 adults in the U.S. questions about their biggest financial concerns. Answers were then grouped based on the financial issue each respondent indicated was their biggest concern.
The questions delved into topics such as coping strategies, seeking professional help and overcoming the concern.
The demographics of the respondents were:
Age:
Gender:
Understand millennial credit card behaviors and statistics, including average debt levels, spending habits, and how this generation manages credit card balances.
New study of 2,023 Americans explores how and when people are reaching key life milestones, and barriers preventing them from their goals.
A new survey on behalf of Self Financial asked 1,053 Americans about their social media spending habits.
Money 