September 30, 2013
No More Paycheck-to-Paycheck: Survey Links Uptick in Job Security to Decline
One thing about the link between career and wealth-building: Negotiating what youj’re worth, saving and consistently keeping a cash flow —whether it’s your business or your personal life— is key.
And one survey shows that with the current uptick in the economy, paycheck-to-paycheck living may be a thing of the past.
According to a recent CareerBuilder survey, the number of U.S. workers dependent on their next payday to make ends meet continues to decline. Thirty-six percent of workers report that they “always or usually live paycheck to paycheck,” a recession-era low from its peak of 46% at the start of the Great Recession.
“The financial situation for many households remains a struggle, but year-after-year fewer workers report living paycheck to paycheck—a sign that job security and spending power may be on the rise as the labor market continues to improve,†said Rosemary Haefner, vice president of human resources at CareerBuilder. “More workers are saving their earnings on a monthly basis than last year, and 70% feel they are more fiscally responsible post-recession. As more workers join the ranks of the gainfully employed, we expect these positive trends to continue.â€
The percentage of those living paycheck to paycheck varies by factors including gender and age:
WOMEN: More likely than men to report living paycheck to paycheck (41% compared with 31%)
SENIORS: Less likely to report living paycheck to paycheck (32% of those 55 and older said they do, compared with 37% of those 25 to 34)
HIGH EARNERS: Less likely to live paycheck to paycheck (11% for those who make $100,000 or mor, compared 53% of those making less than $50,000)