Yahoo Finance 3 Activities the Middle Class Can’t Afford Anymore
The American middle class, caught between the affluent and the lower class, continues to face economic challenges. One major contributor to their struggle? Higher interest rates.
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Bloomberg recently reported the middle class is being squeezed by the cost of carrying debt. In fact, delinquency rates on auto loans and credit cards are at the highest they’ve been in decades.
Since negative financial effects like the above are making it harder for the middle class, there are a number of activities that the middle class needs to cut back on to make ends meet. Here are three activities that the middle class can’t afford anymore, according to GOBankingRates and more:
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1. Going to the Movies
Heading to the cinema can be a fun leisure activity. However, going to the movies can be quite costly. The Numbers indicated that the average movie ticket price nationwide is $10.78 as of 2024. If you’re going to the movies as a family, the costs can really add up. Instead, consider watching movies at home using streaming services you probably already pay every month.
2. Vacations
Vacations are a time of leisure, rest, and relaxation. They can also cost an arm and a leg depending on where you’re traveling to. Allianz Partners USA reported that in 2024, the average American household is anticipated to spend $2,843 on their summer vacation. This figure tops $2,000 for the fifth time since the organization began tracking vacation habits back in 2009. This is no small change, which might put you in credit card debt if you don’t have the cash to pay for it. Instead, consider a staycation and visit a destination close to home for a day trip.
3. Homeownership
The middle class “American dream” is becoming more difficult to achieve. The pandemic sent the U.S. housing market into a tailspin. Demand increased resulting in higher home prices and out-of-control mortgage interest rates. The reality is that it’s significantly more expensive to purchase a home and the middle class is having an increasingly difficult time making this age-old middle class dream a reality.
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This article originally appeared on GOBankingRates.com: 3 Activities the Middle Class Can’t Afford Anymore
