Incomes are still trailing inflation four years after the pandemic-era surge in prices, causing a financial pinch for many households.

Wages still haven’t caught up with inflation, four years after the pandemic caused prices to soar and created a cost-of-living crisis for many households, a new study finds.

Americans on average are earning 1.2 percentage points below the rise in the cost of living over the past four years, which means that the typical worker’s pay increases over that time haven’t yet caught up to higher prices, according to Bankrate’s 2025 Wage to Inflation Index.

The findings come as Americans remain sour about the economy, with 55% rating it as either very or fairly bad, according to a July poll from CBS News. Three-quarters said their incomes haven’t kept up with inflation, while a majority also said they’ve seen prices creep higher in recent weeks and also expect that to continue.

  • Prove_your_argument@piefed.socialEnglish
    7·
    2 days ago

    I keep seeing great middle class jobs move to places like France, Germany or UK, because the US wages for the same job are 30-50% higher.

    Why can the QOL in such places be considered so high, while wages are so low?

    • NoneOfUrBusiness@fedia.io
      10·
      2 days ago

      Cost of living is one thing, but also better governance and social services. I mean they don’t need to pay for insurance, for one.

    • ℍ𝕂-𝟞𝟝@sopuli.xyzEnglish
      6·
      2 days ago

      Because my rent is 1k, my health insurance is 240 a year and there aren’t people being blacksited.

      Also, I have unlimited sick leave by law. Also at least a month of holidays but more like a month and a half. A trip to Paris costs me 200, a trip to Berlin 300, a trip to italy 200.

      I can buy more from my disposable income than I could in the US.

      Also my taxes are done for free automatically. My bank can’t charge me overdraft. I can bike to work and can do without a car, renting one for when I need it.

    • xyzzy@lemmy.today
      31·
      2 days ago

      I have never seen that in my career (tech). What kinds of jobs are you thinking of?

      • Prove_your_argument@piefed.socialEnglish
        3·
        2 days ago

        I have!!! No less than 3 companies with 5bn+ in revenue

        Enterprise Architect
        Software Developer
        Project Manager
        System Administrator

        are some non-management roles i’ve seen go to UK + EU based offices, while the US gets downsized to on site tech support only.

        Of course you get the typical L1 india call center support too.

        I’ve seen this a lot in pharma. They really hate hiring IT workers for more than facilities drone prices in the US.