Paycheck to paycheck on $100,000

Almost 49% are stretched—and it’s up from 42% last year. 

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Paycheck tightrope.
Welcome to the Know the Difference Minute for Wednesday, May 24.
The stereotype of someone living paycheck to paycheck typically is a lower-income household strapped by everyday expenses. Barely able to hang on. Waiting for payday—or a visit to the payday loan store to make ends meet.
According to a new survey from LendingClub, over 61% of Americans are in that cycle. Hammered by inflation and increasing housing costs, it’s a big number.
But here’s where it gets interesting. The number of households making over $100,000 who live paycheck to paycheck is increasing. Almost 49% are stretched—and it’s up from 42% last year. And in a weird twist, those earning less than $50,000 who are paycheck to paycheck dropped 7 points.
High cost of city living takes its toll. Rent has dramatically increased in 60% of large urban areas where almost 70% are now living paycheck to paycheck.
I’m Dave Spano from Annex Wealth Management. That is your Know the Difference Minute.