For the third consecutive year, the percentage of Americans identifying inflation or the high cost of living as the top financial issue affecting their family has reached an all-time high.
The percentage of people citing inflation as the top issue this year has risen to 41%, up from 35% last year and 32% in 2022. Prior to 2022, the highest percentage to mention inflation was 18% in 2008. Since the question was first posed in 2005, inflation has typically been identified by less than 10% of respondents.
According to Gallup’s latest annual Economy and Personal Finance poll, conducted between April 1 and 22, inflation remains the top financial concern for Americans, a trend that has persisted for the past three years. For the first time, the cost of owning or renting a home has risen to second place, with 14% of respondents citing it as their primary financial issue.
Other significant concerns include excessive debt (8%), healthcare expenses (7%), low wages or insufficient money (7%), and rising energy costs or gas prices (6%). Gallup has asked Americans annually since 2005 to identify, without prompting, the most pressing financial problem their family faces.
Over the past 19 years, healthcare costs and financial struggles, including low wages or insufficient funds, have consistently been major concerns. Additionally, the cost of energy and gas has occasionally risen to the forefront, particularly during periods of high gas prices, such as in 2005, 2006, and 2008.
The U.S. inflation rate has dropped considerably since its peak in 2022, yet this hasn’t significantly changed Americans‘ views on their financial situation. This could be due to the lingering effects of high prices over the past few years and the fact that inflation has stayed above the levels seen in the U.S. between 2012 and 2020. Recent government reports indicate that inflation may be rising once more, prompting the Federal Reserve to postpone the interest rate cuts it had anticipated for this year.
