Trump declares victory over 'affordability' as 4 in 10 Americans say their ability to buy the basics has worsened

Although it’s true there’s been a recent cool-off in the consumer price index — annual increases fell from 2.7% in December to 2.4% in January while holding steady in February — Americans reported feeling more pain over the last year. (The prospect of a prolonged war in Iran adds an element of uncertainty, too.)

A survey from Resume Now, a resume-building platform, found the ability to afford the basics worsened for nearly 4 in 10 (39%) Americans in 2025 (2). A further 35% say it stayed the same, while 26% reported an improvement.

Cost-of-living crunch

What’s driving affordability concerns? According to Resume Now, the cost of everyday necessities was the most common source of stress, cited by 65% of survey respondents, followed by housing costs at 42%, retirement savings at 38% and health care costs at 37%.

In terms of essentials, 40% reported cutting back on groceries, while 21% did so when it came to health care visits and prescriptions. Nearly everyone (92%) cut back on spending overall in 2025.

Only 12% of survey respondents say their pay kept up with rising costs. Furthermore, 49% dipped into their savings to survive, while 42% delayed major purchases, 24% took on debt and 22% borrowed from family or friends.

Some of these figures signal “a broader affordability crisis,” according to the report. “The gap between income and cost of living is now impacting both short-term survival and long-term financial stability.”

Shore up your finances

Slower inflation doesn’t necessarily translate into lower prices. Rather, it means that prices are rising more slowly. But until wage growth matches rising costs, or more, many Americans could still feel squeezed.

So, it’s a good time to reassess your fixed monthly expenses. Are there any areas where you could cut back? Could you renegotiate any of your bills or loans for a lower rate? Could you pick up extra hours at work or take on a side gig to bring in extra income?