Survey: 8 In 10 Americans Experienced A Financial Shock Last Year

Americans have little financial security, and aspirations to upward mobility have eroded, according to a new report by the Pew Charitable Trusts, “Americans’ Financial Security: Perception and Reality.”

“Our findings show that despite a steady economic recovery, many Americans continue to feel vulnerable,” said Erin Currier, director of Pew’s financial security and mobility project. 

In the last year, 82% of Americans experienced an economic shock such as a drop in income, a hospital visit, the loss of a spouse or partner and a major car or house repair.

Of that group, 55% reported that they found it hard to make ends meet. This is part of a much longer trend in the slowing growth of family earnings: From 1979 to 1999, the typical worker experienced a 22% growth in wages but from 1979, wages inched up just 2%.

As income increases have slowed, American workers also have changed their aspirations: When asked whether financial security or upward mobility were more important, a record number, 92%, chose financial security, a rise of seven percentage points.

“These statistics tell a powerful story of the economy tightrope Americans are facing,” said Currier.