The Federal Reserve Board released its annual report on the Economic Well-Being of U.S. Households in 2023, highlighting the ongoing challenge of inflation for American households. Despite a relatively stable financial well-being compared to the previous year, the report draws from data collected in October 2023 through their Survey of Household Economics and Decisionmaking (SHED). This comprehensive analysis covers various topics such as income, employment, expenses, banking and credit usage, housing situations including mortgages or rentals; higher education costs and student loans; retirement plans and investments.
According to Governor Michelle W. Bowman from The Federal Reserve Board: “The SHED provides valuable insight into Americans’ financial conditions.” She further added that this perspective helps them better understand how families are managing economic challenges.
Inflation continues to be a major concern for most adults with 65% reporting negative impacts on their finances due to price changes over the past year – including nearly one-fifth who said it had significantly worsened their situation.
