Survey: More Than 1 In 4 Americans Feel They Need To Make $150,000 Or More To Live Comfortably

Monetary safety shouldn’t simply be good to have — ideally, it needs to be attainable for all People. However as excessive costs, tariffs and financial uncertainty reignite issues of a recession, the vast majority of U.S. adults (77 p.c) in the present day say they aren’t fully financially safe, in accordance with Bankrate’s new Monetary Freedom Survey. What’s worse, whilst the inflation charge has eased since a 2022 excessive, the proportion of People who say they aren’t financially safe has climbed over the previous few years, from 72 p.c in 2023 and 75 p.c in 2024.

A part of the explanation why so many individuals really feel financially insecure may very well be that fast inflation over the previous three years has eroded households’ buying energy, making it more durable for People to afford their existence on their present salaries. For instance, a $100,000 wage in January 2020 has the identical shopping for energy as $124,353 in April 2025, in accordance with the U.S. Bureau of Labor Statistics (BLS). In different phrases, when you haven’t acquired a increase since 2020, greater inflation looks like dropping $24,000 of your wage.

“Many individuals must spend increasingly more yearly,” due to inflation, says Wookjae Heo, an assistant professor of monetary counseling and planning on the Purdue College Faculty of Well being and Human Sciences. “Nevertheless, their earnings has not elevated so much. Most individuals’s wage is (static).”

One of many best methods People may really feel extra financially safe is thru a pay bump — however it must be a giant one. Greater than 1 in 4 (26 p.c) U.S. adults say they would wish to make $150,000 or extra per yr to really feel financially safe/comfy. That’s practically twice the everyday nationwide wage: The common full-time, year-round employee made $81,515 in 2023, in accordance with the most recent estimates from the BLS.

Nevertheless, due to market uncertainty, firms are slowing or pausing hiring, which implies many individuals might have problem switching jobs to one thing extra profitable. Amid a sluggish job market, particularly for white-collar and federal staff, it gained’t be simple for a lot of staff to simply earn the next wage and get to that six figures they need.

Bankrate’s insights on monetary freedom

Girls, Gen Xers are likeliest to really feel financially insecure

The bulk (77 p.c) of U.S. adults say they aren’t fully financially safe: 45 p.c say they don’t seem to be fully financially safe however can be sometime, and 32 p.c say they don’t seem to be fully financially safe and sure by no means can be. The proportion of People who consider they’ll by no means obtain monetary safety has risen over time, from 26 p.c in 2023 and 30 p.c in 2024.

Solely 23 p.c of People say they’re fully financially safe:

Supply: Bankrate’s Monetary Freedom Survey, Might 14-16, 2025

“Most of us know comfortability after we see it. It’s a monetary candy spot that permits us to cowl our payments, sock money away for retirement or emergencies, conquer debt — or dodge it totally — and nonetheless have sufficient wiggle room for the occasional indulgence,” Bankrate U.S. Financial system Reporter Sarah Foster says. “Instances have shifted.”

Era-wise, Gen Xers (ages 45-60) are the likeliest to say they don’t seem to be fully financially safe presently (84 p.c), in comparison with 80 p.c of Gen Zers (ages 18-28), 79 p.c of millennials (ages 29-44) and 69 p.c of child boomers (ages 61-79).

However, child boomers are the likeliest era to say they really feel fully financially safe (31 p.c), in comparison with 21 p.c of millennials, 20 p.c of Gen Zers and 16 p.c of Gen Xers.

Greater than 1 in 3 (35 p.c) girls say they aren’t financially safe and by no means can be, in comparison with 29 p.c of males.

Additionally, girls are much less more likely to really feel fully financially safe than males — and the proportion is dropping faster than it’s for males:

People who say they’re financially safe, by yr and gender

Supply: Bankrate’s Monetary Freedom Survey, Might 14-16, 2025

Many individuals assume a six-figure earnings would deliver them monetary consolation

Monetary consolation means one thing completely different to everybody, however when requested, practically half (45 p.c) of People say they would wish to make a six-figure earnings ($100,000 or extra per yr) to really feel financially safe/comfy. This consists of 16 p.c who say they would wish to make $200,000 or extra, and eight p.c say they would wish to make $500,000 or extra.

Supply: Bankrate’s Monetary Freedom Survey, Might 14-16, 2025

Greater than half of People (56 p.c) say they want greater than they’re presently incomes to really feel financially safe/comfy.

Generationally, for the third yr in a row, Gen Xers reported needing essentially the most to really feel financially safe/comfy: 35 p.c say they should make $150,000 or extra to really feel financially safe/comfy, in comparison with 24 p.c of child boomers, 26 p.c of millennials and 20 p.c of Gen Zers.

Whereas round half of males (48 p.c) say they should make $100,000 or extra to really feel financially safe/comfy, 42 p.c of girls say the identical. Males are likeliest (22 p.c) to say they should make between $100,000 and $149,999 to really feel financially safe/comfy, whereas girls are likeliest to say they should make between $50,000 and $79,999 (21 p.c).

Greater than half of People would wish a minimum of $200K to really feel wealthy

There’s an enormous hole between what salaries would make folks really feel comfy and what would make them really feel wealthy. Greater than 1 in 4 People (26 p.c) say they would wish to make a minimum of $1 million per yr to really feel wealthy or financially free.

In the meantime, 55 p.c of People say they would wish to make $200,000 or extra to really feel wealthy or financially free, and 39 p.c say they would wish to make $500,000 or extra.

Generationally, greater than one-third (37 p.c) of Gen Xers say they would wish to make $1 million or extra to really feel wealthy or financially free, in comparison with 27 p.c of child boomers, 23 p.c of millennials and 18 p.c of Gen Zers. An identical share of women and men say they should make $1 million or extra to really feel wealthy or financially free (27 p.c and 25 p.c, respectively).

How one single mother feels in danger as a result of her funds

Tiffany Morrison, a 38-year-old in Ocala, Florida, places it finest herself: “I’m one paycheck from dropping all of it.”

Morrison, a single mother of a 15-year-old daughter and a title agent for an actual property firm, is among the 88 p.c of individuals making below $50,000 per yr who really feel financially insecure. She makes $49,000 a yr and, like many lower-income folks, tries to save lots of, however emergencies hold setting her again. She solely has $500 in financial savings, due to a latest $1,000 automobile restore invoice. It took her eight months to save lots of that $1,500 within the first place.

If Morrison has an sudden emergency, resembling automobile drawback, that might value greater than her whole paycheck and set her again on her payments, she says.

“It turns into a trickle(-down) impact,” Morrison says. “When you miss one invoice, it’s a must to play catch-up, then (the businesses) add late charges on. That’s in all probability the place the uncomfortable space is available in.”

For a lot of, saving more cash isn’t so simple as spending much less on frivolous purchases. However Morrison has used a number of methods to assist her save more cash — she’s moved to a less expensive rental, canceled subscriptions, modified cellphone plans and used different methods to economize. As well as, she opened up a high-yield financial savings account (HYSA), which gives the next rate of interest on her financial savings than a standard financial savings account, and has given her financial savings a much-needed increase.

Regardless of all of this, her price range continues to be uncomfortably tight. If she made $100,000 a yr, she says, that will put her in a way more comfy place financially.

“I feel I’d be capable of lower your expenses (and) have a extra dependable automobile,” she says.

As is the case for a lot of low-income People, reaching Morrison’s desired wage could be troublesome. Her present function doesn’t provide sufficient upward mobility to obtain a serious increase, she says. She would like to work within the nonprofit area, however nonprofits are notoriously low-paying. Alternatively, she’d like to show her social media content material creation aspect hustle right into a full-time job.

Within the meantime, Morrison leans on self-taught private finance recommendation to get her by means of payday after payday, regardless that it’s taken some sacrifices.

“I don’t give myself sufficient credit score for the work that I’ve performed. I’ve seen my very own development just lately. I began on my emergency fund understanding that I nonetheless don’t have a really dependable automobile,” she says. “I’ve simply modified my mindset now to: The whole lot all the time works out.”

Extra Gen Zers consider their model of the ‘American Dream’ continues to be alive in comparison with different generations

The “American Dream” can look completely different from individual to individual — whether or not it includes immigrating to the U.S. for extra alternatives, shopping for a house or retiring early. No matter somebody’s imaginative and prescient of the American Dream is, solely 29 p.c of People consider their model is probably going in in the present day’s financial system.

Supply: Bankrate’s Monetary Freedom Survey, Might 14-16, 2025

The youngest American adults are the likeliest to nonetheless have hope for the American Dream. Over a 3rd of Gen Z (36 p.c) say their model of the American dream is probably going in in the present day’s financial system, in comparison with 27 p.c of millennials, 26 p.c of Gen Xers and 27 p.c of child boomers.

Revenue-wise, greater than half (56 p.c) of these making below $50,000 a yr say it’s unlikely that they’ll obtain their model of the American Dream.

“Although many People maintain onto the thought of returning to a Nineteen Fifties-era ‘Golden’ America age, the times when a single, non-college educated breadwinner may maintain a whole household look like they could be confined eternally to the previous,” Foster says.

3 issues you are able to do to really feel extra financially comfy

There’s no one-size-fits-all method to reaching monetary consolation — what monetary consolation means will look completely different for everybody. For one particular person, it is likely to be paying all their payments on time, each time, whereas for one more, it could be shopping for a big home and occurring holidays each time they’ll.

These steps can assist you determine what monetary consolation means to you and how one can get there.

1. Determine your monetary objectives

To keep away from making a objective you can’t meet, monetary objectives needs to be realistically attainable and set inside a sure timeframe.

As an example, when you make a comparatively low wage in the present day, setting a objective of tripling your wage in six months is probably going unrealistic. However, setting a objective of asking for a increase within the subsequent yr is a way more attainable objective for most individuals.

Some examples of monetary objectives are:

• Return to highschool for a grasp’s diploma inside the subsequent two years to extend your incomes potential.
• Repay $3,000 of bank card debt in six months.
• Save three months of bills (or $15,000) in a single yr for an emergency financial savings fund.
• Save for a down fee (or $20,000) on a home in 5 years.
• Max out your 401(ok) contributions this yr.

For those who need assistance understanding what monetary objectives could be finest for you, think about in search of the providers of a monetary advisor, who may have a look at your whole monetary image and provide you with customized recommendation primarily based in your scenario. Make sure you prioritize hiring a fee-only advisor, who solely receives compensation primarily based on a flat price, and sometimes acts of their purchasers’ finest pursuits.

2. Decide achievable methods to satisfy your objectives

As soon as you already know your monetary objectives, you can begin crafting your plan to satisfy them. For instance:

In case your objective is to repay debt, you may…

• Set a objective to repay your debt inside a sure timeframe and keep on with it. For instance, in case your objective is to repay $3,000 of debt in six months, and also you’re paid bimonthly, it’s best to set an automated fee of $250 each time you’re paid to go in the direction of your debt.
• You probably have a number of sources of debt (for instance, scholar mortgage debt and bank card debt), you may think about the snowball or avalanche debt reimbursement strategies. The snowball technique prioritizes your money owed from the smallest stability to the biggest stability. The avalanche technique prioritizes your money owed from the biggest annual share charge (APR) to the smallest APR.

In case your objective is to save more cash, you may…

• Change to a HYSA, which is able to present the next rate of interest in your wet day fund than a standard financial savings account.
• Pay your self first: Arrange a recurring switch out of your checking account to your financial savings account every month and don’t contact it. Alternatively, you may break up up your direct deposit to place a number of the funds in your financial savings account immediately.

In case your objective is to earn more money, you may…

In case your objective is to speculate extra for retirement, you may…

• Max out your 401(ok) for the yr. (The cap for 2025 is $23,500.)
• Open a Roth IRA, which lets you deposit after-tax earnings and take it out at retirement tax-free.

3. Keep away from life-style creep

Not all life-style creep is unhealthy — for instance, as your earnings rises, you might need to change your outdated beater automobile with a nicer automobile or purchase extra contemporary and natural meals for your loved ones. But when your spending continues to rise as you earn more cash all through your profession, you might not ever get to a degree the place you’re feeling financially safe.

“As our earnings rises, so does our imaginative and prescient of consolation. With every pay bump, the lure of a grander life-style could be irresistible — particularly after durations of restraining ourselves,” Foster says. “To not point out, all of us need to reward ourselves with our hard-earned cash. However this ‘life-style inflation’ can generally pose as many dangers to our funds as precise inflation.”

To keep away from life-style creep, as a substitute of spending extra whenever you obtain a yearly increase or bonus, attempt funneling that cash towards investments or financial savings as a substitute. You’ll be able to break the funds up: For instance, when you obtain a $10,000 yearly bonus, you could possibly put $5,000 in the direction of financial savings, $3,000 to satisfy your yearly Roth IRA cap and spend the remaining. Equally, when you obtain a increase that will increase your paycheck by $200 a pay interval, you could possibly put that cash towards financial savings and hold your spending habits the identical.