PYMNTS’ research finds that 62% of United States consumers lived paycheck to paycheck in February 2023. Fewer consumers live paycheck to paycheck with issues paying their bills, at 20% – down from 21% in February 2022 and 24% in February 2021. Our data shows that supplemental income may be the key.
Nearly half of all employed consumers now have supplemental income sources. Paycheck-to-paycheck consumers report that supplemental income can represent the difference between struggling to pay bills and financial stability. Despite most of these incomes being relatively new — less than two years in most cases — 22% of paycheck-to-paycheck consumers who do not have issues paying monthly bills say their financial grounding would seriously deteriorate without this extra income.
These are just some of the findings detailed in this edition of “New Reality Check: The Paycheck-to-Paycheck Report,” a PYMNTS and LendingClub collaboration. The Supplemental Income Edition examines how U.S. consumers are turning to alternative income sources to supplement wages from their full-time employment and improve their financial standing as inflation causes overall price increases. This report draws on insights from a survey of 4,125 U.S. consumers conducted from Feb. 7 to Feb. 23, as well as an analysis of other economic data.