Zety report reveals salary stagnation and rising costs are preventing Americans from achieving life milestones.
GUAYNABO, Puerto Rico, Feb. 18, 2025 /PRNewswire-PRWeb/ -- A new report from Zety®, a career service dedicated to helping people improve their resumes and cover letters, reveals the growing financial crisis U.S. workers are facing, showing how salary stagnation is preventing many from achieving life goals.
The Priced Out of Progress Report, based on a survey of 1,065 American workers, reveals that financial concerns are not only limiting workers' ability to plan for the future, but are also taking a significant emotional toll on them.
As the cost of living rises and wages fail to keep pace, workers across the U.S. are feeling more hopeless about their future. The data highlights alarming gaps in salary that are making crucial milestones—like homeownership, starting a family, and retirement—feel increasingly out of reach.
Key Findings:
- 40% of workers can't save for retirement.
- 37% say buying a home is financially out of reach.
- 50% say starting or growing a family feels impossible on their current salary.
- 36% of workers feel hopeless, anxious, or frustrated about their ability to achieve life goals on their current salary.
- 70% of workers feel disengaged due to their current pay.
- 36% feel less motivated to go beyond their core job responsibilities.
- 90% report that their emotional well-being is regularly affected by their financial concerns.
Dreams Deferred: Financial Struggles Delay Life Milestones
Across the board, financial concerns are impacting people's ability to achieve life goals. When asked which life goals workers feel financially unable to achieve on their current salary, several top concerns emerged.
- Starting or growing a family: 50%
- Saving for retirement: 40%
- Buying a home: 37%
- Pursuing higher education: 27%
- Traveling or taking vacations: 26%
The Emotional Toll: Financial Stress is Affecting More Than Paychecks
Workers are not just struggling with their bank accounts—they're grappling with the emotional fallout of salary stagnation, with 90% reporting that their emotional well-being is regularly affected by their financial concerns.
- 40% say their financial concerns affect their emotional state weekly, 34% affected monthly, and 16% daily.
- 36% report feeling less motivated to put in extra effort at work.
- 26% are actively looking for new opportunities as a result of their financial stress.
Financial Barriers to Achieving Life Goals
Workers identified several key barriers to achieving their goals, with salary gaps and rising costs standing out as major hurdles:
- 26% cite inadequate salary growth as the biggest barrier.
- 26% believe they lack access to higher-paying jobs.
- 26% mention unexpected financial burdens, such as healthcare costs or emergencies.
- 22% point to the rising cost of living.
Salary's Impact on Career Motivation and Job Satisfaction
The pressure of not earning enough is also affecting career ambition and job satisfaction:
- 36% of workers feel less motivated to go beyond their core responsibilities.
- 27% feel less hopeful about career growth due to their current salary.
- 26% are motivated to look for new opportunities that pay more.
- 20% focus more on finding ways to increase their income rather than improving their work performance.
Financial Stress is Driving Career Decisions
The weight of financial stress is prompting many workers to make career choices driven by money rather than passion:
- 45% have taken on extra responsibilities at work to boost their pay.
- 35% have considered leaving their current job for a higher-paying opportunity.
- 29% say financial stress has lowered their motivation to advance in their career.
- 29% have switched jobs multiple times in pursuit of better pay.
- 20% have chosen to prioritize job security over career growth due to financial pressures.
"This survey highlights a troubling trend where financial instability is crushing workers' ambitions and emotional well-being," said Jasmine Escalera, career expert at Zety. "When workers can't see a path to major life milestones like homeownership or retirement, it's not just about numbers on a paycheck—it's about hope slipping away."
To view the full report with more information, please visit zety.com/blog/priced-out-of-progress-report or contact Skyler Acevedo at [email protected].
Methodology
The findings provided were gathered through a survey conducted with 1,065 American workers on December 11, 2024. Participants were queried about their feelings on their current salary and ability to achieve their life goals. Participants responded to various question types, including yes/no questions, open-ended questions, scale-based questions gauging agreement levels, and questions that permitted the selection of multiple options from a list of answers.
About Zety
Zety is the leading career website providing the ultimate career toolbox to help everyone find their dream job. Fueled by the best career experts and a community of millions of readers, Zety shares a range of innovative resume templates, expert advice, and resources to empower job seekers at every stage of their career journey. Launched in 2016, Zety has helped millions of job seekers across the globe find employment. With a rapidly growing community of more than 40 million readers, Zety is regarded as "the best online resume builder" on the market and has been featured in Fast Company, CNBC and Forbes, among many others. Follow Zety on Facebook, LinkedIn, and X to stay connected and receive the latest updates.
Media Contact
Skyler Acevedo, Zety, 3472927178, [email protected], zety.com
SOURCE Zety
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