Although inflation has slowed, nearly one-third (30%) of consumers have been cutting back spending due to concerns about the economy, according to TD Bank’s annual 2024 Consumer Spending Index. The index is based on a sample of 1,510 U.S. adults ages 18+ that have a credit card.
Meanwhile, 42% of respondents have altered their financial priorities over the past year.
Grocery spending remains top of mind. Half (50%) of respondents say their spending has increased the most on groceries over the last year and more than half (58%) say they spend the most money on groceries in a typical month. Among those whose priorities have shifted, 27% report covering daily living expenses such as groceries and utilities is the priority that has changed the most.
Two-thirds (67%) of those surveyed revealed that some aspect of their finances keeps them up at night, and less than one-third (31%) are planning a major purchase in the next year.
Despite these concerns, Americans remain overwhelmingly confident in their financial situations with 85% indicating they are confident in their ability to manage their finances.