The rising cost of living in today’s economy is causing problems for the middle class. More and more families are living paycheck to paycheck, with no chance of saving for the future or unexpected needs. As a result, an increasing number of middle class individuals are becoming anxious about their financial stability and security.
There are numerous reasons why the once-stable middle class lifestyle is becoming more difficult to maintain. Several variables are working together to suck the energy from what was once the economy’s backbone, from dealing with sky-high debt to earnings remaining stagnant while living costs rise.
We will focus on the various issues of remaining afloat in a financially challenged society. If you’re in the middle class and experiencing financial difficulties, it’s crucial to identify the root cause and take action to safeguard your future.
Below is a list:
1. Wages
Despite rising living costs, it have remained stagnant. The Economic Policy Institute reports that nominal wages have risen around 4% annually, but inflation has been much faster. It can feel like you’re stuck on a treadmill, putting in constant effort but never progressing.
2. Healthcare Costs
Seeing a doctor or staying in a hospital should not be so expensive that many people shun it entirely. However, rising healthcare costs have pushed many people to choose between their health and their wallets. Medical debt is the fastest-growing debt in America and the primary cause of bankruptcy.
3. House Prices
Previously, a middle-income family could afford to buy a good home. However, in today’s environment, you must earn a six-figure income before considering purchasing a property. The median property price exceeds #400,000, with the average monthly payment over #33,000 minimum wage.
4. Education Debt
Going to college has long been regarded as a path to prosperity and stability. However, with growing tuition expenses, many students are graduating with mounds of student loan debt, which may be a burden for years.
5. Job Insecurity
middle class lifestyle
The work market today is very competitive and ever-changing. Many people struggle to obtain stable, well-paying jobs and must work numerous jobs to make ends meet.
