Credit & Money Management
More Workers Live Paycheck to Paycheck, CareerBuilder Finds
Kiplinger News
September 9, 2010
The recession is far from over for many Americans, a survey by jobs website CareerBuilder shows.
Nearly four of every five workers surveyed by the site say they are struggling to make ends meet - and the proportion of workers living paycheck to paycheck has only risen in the past year. In 2009, CareerBuilder found, 61 percent of people were going from one paycheck to another; now, 77 percent are.
A significant number of people are taking drastic steps to shore up their personal finances, as well. More than 20 percent of CareerBuilder's 4,498 survey respondents admitted to dipping into retirement savings - even though money taken from a retirement account can be subject to both taxes and early-withdrawal penalties.
And many people polled by CareerBuilder said the recession is forcing them to be more careful with money. Fifty-four percent of survey participants are spending less on discretionary items, while 48 percent are clipping coupons and hunting for deals.
Some suggest that the changes in consumers' spending habits could continue even after the economy has recovered. Whether that happens remains to be seen - but what is clear is that tough times call for greater financial responsibility.
"Maintaining a budget is not only important now, but will better position workers - both personally and professionally - for the long run," CareerBuilder vice president Rosemary Haefner said.
The site's survey had a margin of error of 1.46 percent at a 95 percent confidence level.
