The Federal Reserve Board on Wednesday issued its Economic Well-Being of U.S. Households in 2025 report, which examines the financial circumstances of U.S. adults and their families. Overall, the report shows that financial well-being was consistent with recent years. Survey results indicate that the labor market remained solid, despite some softening since the previous year’s survey. Price increases remained the most common financial concern, though the share of U.S. adults saying it was a major concern declined slightly.
The report draws from the Board’s annual Survey of Household Economics and Decisionmaking (SHED), which was fielded in October 2025. It analyzes a wide variety of topics, including financial well-being, employment, income and expenses, and housing.
“As we work to support a strong and vibrant economy, it’s critical for the Federal Reserve to understand the economic experiences of families and communities,” said Federal Reserve Board Governor Michael S. Barr. “The SHED provides valuable data on how households are dealing with evolving financial opportunities and challenges.”
The report indicates that 73 percent of adults reported either doing okay or living comfortably financially, consistent with 2024 but below the overall high of 78 percent in 2021. The share who would cover a $400 emergency expense using cash or its equivalent also remained unchanged from 2024 at 63 percent.
Prices continued to be the most common financial concern among U.S. adults, with the share citing it as either a major or minor concern unchanged at 91 percent. However, the share who cited “price increases” as a “major concern” declined to 53 percent, down from 56 percent in 2024.
Responses indicated a solid labor market, but one that softened since the previous year’s survey. Forty-two percent of adults said “finding or keeping a job” was either a minor or major concern, up from 37 percent in 2024. The percentage of adults who voluntarily left a job declined slightly to 8 percent. There was a small increase in layoffs, as 7 percent of all adults reported being laid off, up from 6 percent in 2024.
The report also discusses the adoption of generative artificial intelligence (AI) at work. One in four workers used generative AI at work in the prior month, and 81 percent of users agreed that it saves them time. AI users were also more likely to agree that the technology would improve their careers than to say that they were worried that AI would replace their jobs. However, workers who did not use AI in the prior month saw fewer potential benefits.
The report, fact sheet, downloadable data, data visualizations, and a video summarizing the report’s findings are available here.
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