An anonymous study of 35,000 users of the finance app Piere suggests Millennials doubt President Donald Trump’s cost-of-living promises as credit debt rises and milestones are delayed, a new report finds. Five out of six do not expect him to reduce their cost of living.
That skepticism arises from personal experience. Close to 40% of Millennials increased their credit card usage in the past year to manage daily expenses. One in five have increased their credit card use by more than $500 over the past year. Their credit card fees surged by 78% between 2022 and 2024, while late payment fees rose by one-third.
It should, therefore, be no surprise that 59% have considered postponing major life events, such as weddings, home purchases, or starting families, due to financial challenges. However, while they are cutting back on everyday expenses, newspaper subscription purchases increased by 148% in the week of the January 2025 inauguration.
Monthly grocery spending has dropped by 29%, while dining out and food delivery spending fell by 17% and 11%, respectively, since 2022. Spending on pet care decreased by 10% since 2022, while childcare costs have remained the same.
Savings deposits have increased by 30% since 2022, showing efforts to build financial resilience despite economic strain.
The survey found that Millennials increasingly view common services as non-essential. Two-thirds consider hiring house cleaners as a luxury, while 30% see food delivery services as a luxury. Even streaming services (5%) and visiting family (3%) were deprioritized due to financial constraints.
“While Americans are showing resilience in the face of mounting financial pressures, the sharp rise in credit card fees and delayed milestones point to a deeper issue: financial stress is shaping life decisions for millions of people,” said Piere CEO Yuval Shuminer. “We’re witnessing in real-time how consumer behavior is profoundly shifting, as Americans navigate the complexities of rising costs and economic uncertainty. While spending on essentials has decreased significantly, consumers are also prioritizing savings amidst increasing debt burdens. This dual approach underscores the resilience of the American consumer, who is adapting to new financial realities while seeking value in every purchase.”
Piere is an intelligent personal finance app that reveals hidden financial opportunities, providing users with personalized plans and insights. With more than 35,000 downloads across the US, Piere empowers modern consumers to optimize their finances and unlock growth.
