The majority of Americans currently experience a rather difficult economic climate. Living and making it through each month are growing more and harder for people.
Most Americans aren’t making enough money to stay competitive and ahead of the curve because of rising interest rates and price increases.
As a result, people are slipping behind and are forced to reevaluate their retirement plans, driving habits, and other factors.
millennials aren’t lazy, we just have student debt and gas is $6 a gallon, sry we turned down your 65 hour work week 45k starting salary with no benefits offer— samantha jay (@checkpleaseeeee) August 2, 2022
The COVID-19 lockdowns and limitations caused a lot of individuals to lose their employment and enterprises, which led to the current economic difficulties. The economy has suffered greatly over the last two years, and now Americans are suffering as a result.
Millennials are dealing with serious debt problems. More than seven out of ten millennials are carrying significant debt, with an average of $117,000 in debt, according to a Real Estate Witch research.
#New: 72% of #Millennials are carrying non-mortgage debt.— scott budman (@scottbudman) July 29, 2022
Half carry student loan debt.
– Among millennials with student debt, the average balance is $126,993.
-The average millennial spends 47% of their gross monthly income on housing.
In addition, 67 percent have credit card debt, and 48 percent have an average $126,993 in student loan debt. The fact that 29% of millennials don’t make their entire monthly credit card payments, resulting in interest, has drawn the most attention.
Another indication of the state of the economy is the fact that millennials typically spend 47% of their income on housing. It’s generally recommended that people spend no more than 30% of their income on housing.
This information demonstrates that many millennials still have a ways to go before obtaining true financial stability. However, getting out of a financial hole might be much easier said than done because of debt and the interest that comes along with it inevitably.
It is a reality of today’s economy that many people are struggling. The rising cost of living has made it much more difficult to maintain one’s standard of living.
Meanwhile, those who do have debt are having their interest rates rise, whether it is from mortgages, school loans, or past-due credit card payments.
The typical American would be more squeezed if the Federal Reserve raised interest rates at any moment.
While some millennials are certain they’ll be able to pay off their debts within the next few years, others will likely find it more difficult owing to the present recession and the ongoing price increases.