High monthly apartment rents and the soaring cost of groceries continue to put pressure on U.S. residents. How much? A new study by InvestorsObserver found that Americans now work up to 25 extra days a year to maintain the basic living standards they enjoyed in 2007.
And much of the financial stress faced by U.S. residents today does come from the high cost of monthly apartment rents and the seemingly constantly increasing costs of groceries.
According to InvestorsObserver’s analysis, people across the United States now must work up to 25 extra days a year when compared to 2007 just to cover rent and groceries and to save enough dollars for a used car.
The numbers are surprising: Just to cover rent, groceries and save for a used car, the average American must work 66 days a year. In Hawaii, the average person must work nearly 87 days a year to cover these same costs, the highest number of days in the country.
InvestorsObserver said that the compared to 2007 the average U.S. resident works seven extra workdays yearly to cover rent, groceries and the cost of a used car. And in the top 10 worst-hit states, workers spend 2.5 extra years of their 40-year careers to earn enough money to cover the same rent, groceries and car that their parents could afford in 2007.
Why this financial stress? The cost of so many items has risen faster than an increase in wages.
In 2007, the average American earned $20.75 per hour, according to InvestorsObserver. By 2025, that figure had risen to an average of roughly $34.35 per hour, a 65.6% increase. That sounds like a positive. Unfortunately, the cost of basic necessities didn’t just rise 65.6%. They increased by much more.
