Hidden Costs Surge as Americans Skip Meals Under Trump Economy

Americans are skipping meals to survive rising costs, driven by inflation, debt, and policy failures. Tariffs, SNAP cuts, and corporate price hikes are fueling a national crisis where the choice between eating and paying bills is now common.

The hidden cost of survival has become unbearable for millions of Americans who now face an impossible choice: pay bills or eat. Despite official economic narratives touting success, a shocking one in four Americans report skipping meals in the past year just to make ends meet. This alarming trend reflects the growing disconnect between economic indicators and everyday reality for working families. Meanwhile, young adults and communities of color bear the heaviest burden as food prices continue to climb alongside housing and healthcare expenses. In fact, meal-skipping has emerged as just one symptom of a broader financial instability affecting households across the country. As families increasingly turn to credit cards and buy-now-pay-later services for basic necessities, many point to Trump-era policies as key contributors to their financial stress. From tariffs raising prices on everyday goods to corporate price manipulation going unchecked, Americans are feeling squeezed from multiple directions simultaneously. This growing economic pressure has sparked demands for accountability and structural reform as people struggle with the most basic human need: putting food on the table.

Americans report skipping meals to survive rising costs

Recent economic data reveals a stark reality for millions of American households: putting food on the table has become an increasingly difficult challenge. A comprehensive survey found that precisely 25% of respondents or someone in their household had skipped meals to save money in the past year 1. This alarming trend reflects the growing financial pressure faced by everyday Americans struggling to balance basic necessities against rising costs.

Survey shows 1 in 4 Americans skipped meals in past year

Beyond the headline statistic, additional research confirms this troubling pattern. According to dunnhumby’s Consumer Trends Tracker, 30% of Americans across all age groups reported skipping meals due to financial constraints . Another survey by Intuit Credit Karma found that 27% of respondents occasionally skip meals due to rising costs . Furthermore, 26% of Americans in the same study reported purchasing unhealthy foods for themselves or their families because of pricing concerns .

The economic impact extends beyond just skipping meals. Approximately 28% of Americans are delaying payment for other necessities, such as rent or utility bills, just to afford groceries . This trade-off between essential needs underscores the impossible choices many families face in the current economic climate.

Young adults and communities of color most affected

The burden of food insecurity falls disproportionately on certain demographic groups. Young adults aged 18-34 are by far the most likely to have skipped meals to pay bills, with 38% reporting this behavior 1. Similarly, 38% of those aged 18-34 and 37% of adults aged 35-44 have the highest rate of meal skipping among all age groups 1.

Racial disparities are equally pronounced. Nearly 4 in 10 Hispanics (41%) and almost 3 in 10 Blacks (29%) report skipping meals to make ends meet . This aligns with broader food insecurity patterns, where households headed by American Indian and Alaska Native (23.3%), Multiracial American Indian-White (21.7%), and Black (21.0%) individuals experience significantly higher rates of food insecurity than the national average .

Lower-income households face particularly severe challenges, with 39% of those earning less than $50,000 annually reporting skipped meals . Accordingly, many find themselves in a financial no-man’s-land—53% of survey respondents indicated they earn too much to qualify for government assistance but not enough to afford necessities throughout the month .

Meal skipping linked to broader financial instability

This growing trend of meal skipping represents just one symptom of widespread financial precarity. Approximately 62% of Americans would struggle to pay an unexpected expense of $400, with that percentage jumping to 75% for consumers between 18-44 years old . Consequently, many households are turning to credit cards and other forms of debt to bridge the gap.

The health implications of these financial constraints are significant. When cost becomes the primary factor in food decisions, many people opt for processed foods that are cheaper and have longer shelf lives but offer little nutritional value . About 7 in 10 Americans say increased costs of healthy food have made maintaining a nutritious diet more difficult, with this challenge affecting 77% of lower-income adults compared to 54% of upper-income individuals .

Without adequate financial resources or access to healthy food options, meal skipping will likely continue as a desperate strategy for millions of Americans trying to manage their household budgets amid persistent economic pressures.

Families turn to debt and savings to cover basic needs

As household budgets stretch to breaking point, Americans are increasingly turning to debt instruments and depleting their savings to afford basic necessities. The rising cost of everyday items has forced many families to make difficult financial choices, revealing troubling patterns across all income levels.

Credit card usage spikes amid rising delinquencies

Credit card debt in America has reached an alarming $1.18 trillion as of the first quarter of 2025. This represents a slight decrease from the record high of $1.21 trillion set just months earlier. More concerning, however, is the dramatic rise in delinquency rates, which have reached levels not seen since the 2008 recession. Currently, 8.75% of credit card balances have become delinquent by 30 days or more.

The average American now carries a credit card balance of $6,580, with Gen X carrying the highest average at $9,255. Notably, even high-income households are struggling – delinquencies for those earning over $150,000 have more than doubled since 2023, while middle-income households report increasing their credit card usage.

This trend may reflect broader economic shifts beyond just inflation. The job market for white-collar workers has weakened substantially, with only 7% of new jobs paying above-average wages, down from 38% before the pandemic. This employment landscape has left even higher-earning Americans vulnerable to financial strain.

Buy-now-pay-later used for groceries and essentials

Perhaps most revealing is the surge in Americans using buy-now-pay-later (BNPL) services for basic necessities. Approximately 25% of BNPL users now rely on these services for groceries, up significantly from 14% just a year ago. Alongside this trend, 41% of BNPL users reported making late payments in the past year, an increase from 34% previously.

The rising cost of food has primarily driven this shift, with prices 28% higher than in 2020. These price increases disproportionately impact lower-income households, which spend roughly a third of their after-tax income on food. Subsequently, these same lower-income households have become the largest users of BNPL services.

Many consumers report using these loans to “smooth out” their spending on essentials. However, financial experts warn about “loan stacking” – taking multiple BNPL loans simultaneously, which 60% of users admit to doing. This practice can create hidden financial stress as payments are automatically withdrawn from bank accounts.

Savings depleted across income brackets

Emergency savings, the traditional buffer against financial hardship, are increasingly inadequate. One in three Americans now have more credit card debt than emergency savings, the highest level in over a decade. Additionally, 37% of Americans tapped into their emergency savings in the past year, with millennials (42%) and Gen Xers (38%) most likely to do so.

When Americans do withdraw from their savings, 26% pull between $1,000 and $2,499. Overwhelmingly, these withdrawals cover essential needs – 80% used emergency savings for necessities like unplanned expenses (51%), monthly bills (38%), or day-to-day expenses (32%).

The personal savings rate has slightly improved to 4.9% as of April 2025, up from 4.1% in January. Nevertheless, this modest improvement masks a troubling reality – 19% of Americans report having no emergency savings whatsoever. Even among those actively saving, 57% want to have four months of expenses saved, yet only 36% have achieved this goal.

Trump-era policies blamed for worsening financial stress

Six out of ten Americans directly blame the Trump administration for the rising cost of living, according to a recent poll. Throughout the first six months of his presidency, Trump’s economic policies have faced mounting criticism as families struggle with basic necessities.

Tariffs linked to price hikes on everyday goods

Trump’s tariffs represent one of the most significant tax increases in more than a generation. After imposing duties on nearly everything the U.S. imports, with Chinese goods facing levies as high as 145%, the weighted average applied tariff has jumped from 1.5% to an estimated 21.1%. These taxes amount to an average increase of $1,219 per household in 2025.

Major companies absorb portions of these costs but still pass some to consumers. General Motors reported tariff costs of approximately $1.1 billion in a single quarter, while Stellantis paid more than $300 million. Nearly 80% of Americans—including 70% of Republicans—express concern that these tariffs will raise prices on everyday goods like clothing and appliances.

Cuts to Medicaid and SNAP increase household burden

The One Big Beautiful Bill Act, signed into law on July 4, 2025, included nearly $1 trillion in Medicaid cuts over the next decade. The Congressional Budget Office estimates this may cause 11.8 million Americans to lose health insurance. Combined with SNAP (food assistance) cuts of $287 billion over ten years, these reductions disproportionately affect vulnerable populations.

SNAP cuts are particularly devastating, as research shows the program reduces food insecurity, improves health outcomes, and lowers healthcare costs. Every $1 in SNAP benefits lost to children and families ultimately costs society between $14 and $20 at the national level.

Public perceives Trump’s economic promises as unmet

Polling reveals widespread disillusionment with Trump’s economic agenda. Sixty-three percent believe Trump has negatively impacted grocery prices, and 61% say he has harmed their overall cost of living. Nearly half (49%) believe his policies have directly damaged their personal finances.

These concerns extend across partisan lines. Almost half (46%) of adults believe tax legislation will hurt their families. Moreover, 59% expect Trump’s policies to weaken Medicaid, and 57% believe they will undermine Medicare.

Even rural communities, typically supportive of Trump, express anxiety, with 52% worried about reduced access to care and 66% concerned about negative impacts on local healthcare providers. As a result, 76% of Americans now fear an impending economic recession.

Corporate power seen as key driver of inflation

Beyond policy impacts, corporate pricing decisions have emerged as a fundamental driver of inflation pressures facing American households. Studies reveal corporations have leveraged their market position to maintain high profit margins even as consumers struggle with escalating costs.

Majority blame corporations for price manipulation

A Kansas City Fed study found corporate profits drove approximately half of price increases in 2021. This pattern has not gone unnoticed by consumers—many Ohioans report feeling that their grocery purchases effectively fund “corporate stock buybacks and executive bonuses”. This sentiment extends nationwide, with the majority of Americans pointing to corporate concentration as enabling artificial price inflation.

The data supports these concerns. Corporate profits contributed 53.9% to price increases, whereas labor costs accounted for less than 8%. Although some Federal Reserve economists dispute the “greedflation” theory, other research indicates corporate profits drove 53% of inflation during the second and third quarters of 2023.

Executives admit to raising prices despite tariff relief

Corporations openly acknowledge their pricing strategies on earnings calls. One CEO frankly stated that “consumers are tolerating price increases well”, highlighting the calculated nature of these decisions. PepsiCo’s chief financial officer admitted that even as inflation dropped, prices would remain elevated, followed by double-digit price hikes.

Likewise, major retailers have announced price increases citing various factors. Adidas reported a “double-digit million euro hit” from tariffs, yet Nike plans to raise prices to offset an expected $1 billion in additional tariff costs. Macy’s, Best Buy, Target, AutoZone, and P&G have all announced similar intentions.

Deregulation enables unchecked corporate behavior

The consolidation of market power underscores this pricing dynamic. Currently, 75% of US industries have fewer companies controlling larger market shares than they did two decades ago. In the food sector, just four companies control processing of 80% of beef, 70% of pork, and 60% of poultry.

Alongside traditional price-setting methods, companies now employ sophisticated “dynamic pricing” and “personalized pricing algorithms”. These technologies allow retailers to track consumer behavior and adjust prices accordingly—even charging more based on a customer’s search history.

In response, the Biden administration has initiated antitrust action against Amazon for artificially inflating prices, and legislators have proposed a Price Gouging Prevention Act to empower regulators to combat “grossly excessive” pricing practices.

Americans demand accountability and structural reform

In response to mounting economic pressures, Americans increasingly favor bold structural reforms aimed at reducing the cost burden on ordinary citizens. Public sentiment has shifted decisively toward holding powerful economic actors accountable.

Support grows for taxing the wealthy and breaking monopolies

A comprehensive analysis of over 55 national and state polls reveals overwhelming support for higher taxes on the wealthy. The billionaire income tax garners 67% approval nationwide, including 84% of Democrats, 64% of Independents, and surprisingly, 51% of Republicans. Likewise, a wealth tax enjoys similar popularity with three-fifths of Americans supporting it. Currently, 63% of adults believe tax rates on large businesses should increase, with upper-income Democrats (91%) most strongly favoring corporate tax hikes .

Alongside taxation reform, antitrust enforcement receives broad backing. About 69% of Americans support government regulations aimed at preventing monopolies, with majorities across all political affiliations—83% of Democrats, 62% of Republicans, and 60% of Independents. Indeed, 67% consider market domination by single companies harmful.

Public backs prosecuting companies that exploit consumers

Americans generally believe antitrust penalties should increase, with 36% saying current laws aren’t strict enough. Nearly half expect stricter enforcement would benefit consumers, small businesses, workers, and the broader economy. Interestingly, Americans want enforcement decisions based primarily on long-term consumer prices (48%) and product quality (42%) rather than short-term pricing effects.

Throughout various industries, Americans perceive inadequate competition, especially in pharmaceuticals and oil/gas sectors. This concern fuels growing calls for breaking up dominant corporations, with 46% supporting breakups of major technology companies.

Tools like ‘Don’t Inflate Our Plates’ track price hikes

Citizens increasingly utilize resources like “Don’t Inflate Our Plates” to monitor food cost increases. This initiative highlights how rising prices reflect “a rigged economy that puts profits over people”. Such tools empower consumers to identify price manipulation and demand a more equitable economic system “that works for working people—not just corporations and the wealthy few”.

Conclusion

The stark reality of Americans skipping meals while struggling to pay bills reveals a troubling disconnect between official economic narratives and everyday experiences. Food insecurity now affects one-quarter of the population, with young adults, communities of color, and lower-income households bearing the heaviest burden. Meanwhile, these meal-skipping behaviors represent just one facet of a broader financial crisis pushing families toward unsustainable debt.

Credit card balances have soared past $1.18 trillion as Americans increasingly rely on buy-now-pay-later services simply to purchase groceries. Emergency savings accounts stand depleted across income brackets, leaving millions vulnerable to financial shocks. This financial destabilization coincides directly with Trump-era economic policies that many citizens identify as primary contributors to their economic distress.

Tariffs function essentially as regressive taxes, adding approximately $1,219 per household in 2025 alone. Cuts to critical support programs like Medicaid and SNAP further compound these burdens for vulnerable populations. Consequently, public trust in economic promises has eroded substantially, with majorities now expressing concern about their personal finances.

Corporate behavior compounds these challenges. Many executives openly acknowledge maintaining elevated prices despite declining input costs, exploiting their concentrated market power. The fact that corporate profits drove approximately half of recent price increases underscores how market consolidation enables pricing strategies that harm ordinary Americans.

Americans therefore demand meaningful structural change. Support for taxing wealthy individuals and corporations remains strong across partisan lines, alongside calls for breaking up monopolies and prosecuting companies that exploit consumers. The widespread adoption of tools tracking corporate price hikes reflects growing awareness that economic hardship stems not from personal failure but systematic inequities.

Ultimately, this meal-skipping crisis represents a watershed moment where economic statistics clash with lived experiences. The choice between eating and paying bills should never exist in the world’s wealthiest nation. Unless substantial reforms rebalance economic power away from corporations and toward working families, millions will continue facing impossible choices about life’s most basic necessities.

References

[1] – https://www.bankrate.com/banking/savings/emergency-savings-report/
[2] – https://www.morningstar.com/news/marketwatch/20250602123/americans-are-revenge-saving-after-years-of-splurging-savings-are-a-great-way-to-have-some-certainty
[3] – https://publichealth.berkeley.edu/articles/news/commentary/what-do-cuts-to-medicaid-really-mean
[4] – https://povertycenter.columbia.edu/publication/2025/economic-costs-cutting-snap
[5] – https://taxfoundation.org/research/all/federal/trump-tariffs-trade-war/
[6] – https://www.npr.org/2025/07/29/nx-s1-5477470/prices-trump-tariffs
[7] – https://frac.org/blog/part-4-proposed-snap-cuts-the-health-and-economic-impact-on-families-with-young-children
[8] – https://www.kff.org/medicaid/issue-brief/the-implications-of-federal-snap-spending-cuts-on-individuals-with-medicaid-and-other-health-coverage/
[9] – https://www.bloomberg.com/news/articles/2025-08-01/trump-polls-on-economic-agenda-show-voter-approval-declining
[10] – https://www.kff.org/affordable-care-act/press-release/more-than-half-of-the-public-worries-federal-medicaid-budget-cuts-would-affect-their-familys-ability-to-obtain-and-afford-care-more-worry-it-will-increase-the-uninsured/
[11] – https://www.banking.senate.gov/newsroom/majority/brown-corporate-price-gouging-tactics-distort-the-market-and-drive-inflation
[12] – https://www.theguardian.com/commentisfree/2024/apr/11/companies-inflation-price-gouging
[13] – https://www.epi.org/blog/corporate-profits-have-contributed-disproportionately-to-inflation-how-should-policymakers-respond/
[14] – https://www.cnn.com/2024/05/15/business/inflation-biden-rate-fed
[15] – https://www.businessinsider.com/companies-raising-prices-increases-trump-tariffs-2025
[16] – https://inequality.org/article/extensive-polls-find-americans-support-taxing-the-wealthy/
[17] – https://www.pewresearch.org/short-reads/2025/03/19/most-americans-continue-to-favor-raising-taxes-on-corporations-higher-income-households/
[18] – https://today.yougov.com/economy/articles/47798-most-americans-oppose-monopolies-and-support-antitrust-laws
[19] – https://dontinflateourplates.com/search-by-state-fred

MealSkippingEconomicCrisis, SNAPAndMedicaidCuts, CorporatePriceManipulation, FoodInsecurityInAmerica, TrumpTariffsImpactFamilies

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