When Christy F. checks her bank balance every month, she holds her breath. At 52, the Denver sales administrator never expected to be living paycheck to paycheck — but she’s far from alone.
A new PYMNTS survey shows 67% of Americans are now stretching their paychecks to the limit, the highest rate since 2020.
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“I used to judge people who couldn’t make ends meet,” Friedman shared. “Now I get it. The math just doesn’t math anymore.”
The Denver resident broke down her monthly finances, what’s disrupting her financial health and what you can learn from her experience.
Breaking Down a Brutal Budget
After taxes, Friedman brings home $4,200 monthly. Here’s where it goes:
- Rent: $1,850
- Car payment and insurance: $525
- Utilities: $285
- Phone and Internet: $165
- Groceries: $600
- Healthcare: $280
- Credit card minimums: $390
- Gas: $200
- Student loan payment: $185
- Total: $4,480
“I’m in the red before I even think about a haircut,” she explained. “Not to be too cliché about it, but some nights I really do lie awake wondering how long I can keep juggling it all.”
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Housing Costs Eating Her Alive
Friedman’s rent gobbles up 44% of her income — painfully close to what PYMNTS found is typical for struggling consumers, who spend about 48% on housing.
“I looked at places further out from work but we’re back in person now,” she said, “so I’d be killing myself on gas money. It’s like picking your poison.”
Drowning in Credit Card Debt
With $5,800 in credit card debt, Friedman actually carries less than the $7,038 average for folks struggling with bills. Still, those minimum payments hurt.
“My car died last month,” she explained. “It went kaput and I literally cried. The credit card was my only option. What else could I do — not show up for work!?”
Getting Scrappy To Survive
Like many in her situation, Friedman has become a pro at creative bill juggling. She keeps the heat low, times her bill payments carefully and has mastered the art of negotiating with creditors.
“You learn which companies will work with you,” she noted. “And which ones will destroy your credit score if you’re a day late.”
Savings? What Savings?
Friedman’s emergency fund sits at $1,200 — less than half the $2,447 average for others in her boat.
“I’m fully aware how close to the edge I’m living,” she said. “But I don’t have a choice. I honestly would love to live somewhere cheaper, but I am not sure how I could swing it with work.”
The Gen X Squeeze
According to PYMNTS, nearly 40% of Gen Xers blame debt for their paycheck-to-paycheck existence. Another 44% point to simple lack of funds.
“My generation is getting it from both ends,” Friedman explained. “My daughter’s in college, my mom needs help with medical bills and somehow I’m supposed to be saving for retirement? Like, fat chance.”
Light at the End of the Tunnel?
Between her side gig selling vintage clothes online and ruthless budgeting, Friedman is determined to turn things around. But she wants people to understand — living paycheck to paycheck isn’t always about bad decisions.
“When rent and groceries eat your whole check,” she said, “There’s nothing left to save. That’s just basic math.”
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This article originally appeared on GOBankingRates.com: I’m a Gen Xer Living Paycheck to Paycheck: Here’s My Monthly Finances
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