Almost 50% of All High-Income Earners Live Paycheck to Paycheck, New Report Says

Young businessman on the phone.
Constantinis / Getty Images

While low-income consumers struggle the most to make ends meet, even high-income consumers are feeling the effects of inflation. As of February 2023, 62% of U.S. consumers live paycheck to paycheck, a new report found.

A new analysis released through a PYMNTS and LendingClub collaboration looked at how U.S. consumers are turning to alternative sources of income to supplement what they receive from their regular job. The report, “New Reality Check: The Paycheck-to-Paycheck Report,” found that 48% of high-income earners, or those making over $100,000 per year, lived paycheck to paycheck in February 2023. This is up from 47% the same time last year.

The number of middle-income consumers — those making between $50,000 and $100,000 annually — living paycheck to paycheck remained at 62%. Low-income consumers — those making under $50,000 — made some progress over the last year, with 75% reporting living paycheck-to-paycheck in 2023 compared to 79% in 2022.

PYMNTS noted that these shifts reflect financial shifts in the economy, “further highlighting that struggling consumers have adapted to recent economic changes.” For example, 60% of consumers reported being employed, but almost half had a side job or other source of supplemental income.

“While consumers have adjusted to inflationary pressures by budgeting and spending less, many have turned to supplemental income with a side job or alternative income sources to improve their financial standing,” Anuj Nayar, financial health officer at LendingClub, said in a company press release.

Investing for Everyone

Take Our Poll: How Much Salary Would Buy You Happiness?

The data suggests that turning to supplemental income will continue to gain momentum. Fifty-one percent of those who have not received supplemental income in the last three months are at least somewhat likely to find another income source within the next 12 months.

Investing for Everyone

About the Author

Josephine Nesbit is a freelance writer specializing in real estate and personal finance. She grew up in New England but is now based out of Ohio where she attended The Ohio State University and lives with her two toddlers and fiancé. Her work has appeared in print and online publications such as Fox Business and Scotsman Guide.
Learn More


See Today's Best
Banking Offers