U.S. Families on $130,000 Fall Into the Red as Prices Outpace Wage Gains
Updated
Updated · The New York Times · Jun 27
U.S. Families on $130,000 Fall Into the Red as Prices Outpace Wage Gains
2 articles · Updated · The New York Times · Jun 27
Summary
$130,000 no longer covers basics for a model U.S. family of four, with the household now ending up in the red after paying for housing, health insurance and day care.
Over the past 18 months, rising costs erased gains from higher wages and recent tax cuts, leaving that family with more than $1,000 less than it had a year and a half ago.
The findings come from research based on data, interviews and a survey of 1,000 people, arguing that headline indicators like solid growth, low unemployment and strong stock markets miss household financial strain.
The analysis says even relatively well-off families have little room for shocks or extras such as a car repair, vacation, new car or a third child, underscoring pressure beyond traditional economic metrics.