Rising housing, healthcare, and education costs outpace wage growth, squeezing retirement savings for 40% of households earning over $300,000.
A Goldman Sachs survey reveals 40% of Americans earning over $300,000 live paycheck to paycheck due to surging structural costs. Housing, childcare, and healthcare expenses now consume 33-36% of income, up sharply since 2000, leaving little for savings.
The report highlights a persistent gap between income and expenses, with 67% of workers citing monthly costs as a barrier to retirement planning. Despite 68% feeling confident about retirement, 58% fear outliving their savings, reflecting a psychological disconnect.
Cost pressures are expected to persist through 2035, delaying life milestones like home ownership and marriage. The findings underscore a systemic challenge for financial planning amid stagnant wage growth.