The United States and France were the two countries where the highest share of respondents were struggling to make ends meet as of September 2022. This is shown in i survey conducted in ** countries worldwide. During 2022, rising inflation rates worldwide have seen more people struggling with the increasing costs of living. However, in China, less tha 20 percent stated that they were struggling to make ends meet.

According to a survey conducted in 2022, ** percent of adults said that vocational training or other professional certification programs were definitely worth the price, more than other higher education institutions. Undergraduate education at private universities, for-profit, was perceived by adults as the least likely to be worth the price out of the other types. The student debt crisis In the United States, the amount of outstanding student loan debt has skyrocketed in the last few years, ultimately outpacing all other forms of household debt. As of the first quarter of 2024, Americans owed over **** trillion U.S. dollars in student loans, likely influenced by increasing college tuition prices at a time of rising living costs and little wage growth. By the 2020/21 academic year, the average cost of attending a four-year postsecondary institution in the U.S. reached over ****** U.S. dollars, a price which may triple for Americans attending private and non-profit schools. In that same year, the average student debt for a bachelor's degree in totaled almost ****** U.S. dollars, depicting an increase in the amount of Americans taking on larger debts to attend higher education - an agreement which ultimately leads to an even greater outstanding balance from accrued interest. Despite a three-and-a-half-year pause on monthly student loan payments during the COVID-19 pandemic which aimed to alleviate the economic burden faced by over ** million borrowers, most Americans still struggle to afford these payments. Cutting out college costs As the cost of college - and the resulting student debt - remains on the rise in the U.S., more and more university graduates have been found to be struggling financially, often having difficulty affording bills and other living expenses. Such financial hardships have also caused significant disruption to the lives of younger Americans, with a 2022 survey showing that around a ******* of Gen Z were unable to save for retirement or emergencies and had to delay homeownership and having children due to their student debt. Consequently, debates have arisen over whether the benefits of higher education still exceed the costs in the U.S., with many beginning to doubt that getting a college degree is worth the financial risk. While tuition costs remain at an all-time high, it is probable that financing a college degree may be detrimental for those Americans who have fewer resources and are unable to fund higher education without going into a significant amount of debt.

VITAL SIGNS INDICATOR
Poverty (EQ5)

FULL MEASURE NAME
The share of the population living in households that earn less than 200 percent of the federal poverty limit

LAST UPDATED
January 2023

DESCRIPTION
Poverty refers to the share of the population living in households that earn less than 200 percent of the federal poverty limit, which varies based on the number of individuals in a given household. It reflects the number of individuals who are economically struggling due to low household income levels.

DATA SOURCE
U.S Census Bureau: Decennial Census - http://www.nhgis.org
1980-2000

U.S. Census Bureau: American Community Survey - https://data.census.gov/
2007-2021
Form C17002

CONTACT INFORMATION
vitalsigns.info@mtc.ca.gov

METHODOLOGY NOTES (across all datasets for this indicator)
The U.S. Census Bureau defines a national poverty level (or household income) that varies by household size, number of children in a household, and age of householder. The national poverty level does not vary geographically even though cost of living is different across the United States. For the Bay Area, where cost of living is high and incomes are correspondingly high, an appropriate poverty level is 200% of poverty or twice the national poverty level, consistent with what was used for past equity work at MTC and ABAG. For comparison, however, both the national and 200% poverty levels are presented.

For Vital Signs, the poverty rate is defined as the number of people (including children) living below twice the poverty level divided by the number of people for whom poverty status is determined. The household income definitions for poverty change each year to reflect inflation. The official poverty definition uses money income before taxes and does not include capital gains or non-cash benefits (such as public housing, Medicaid and food stamps).

For the national poverty level definitions by year, see: US Census Bureau Poverty Thresholds - https://www.census.gov/data/tables/time-series/demo/income-poverty/historical-poverty-thresholds.html.

For an explanation on how the Census Bureau measures poverty, see: How the Census Bureau Measures Poverty - https://www.census.gov/topics/income-poverty/poverty/guidance/poverty-measures.html.

American Community Survey (ACS) 1-year data is used for larger geographies – Bay counties and most metropolitan area counties – while smaller geographies rely upon 5-year rolling average data due to their smaller sample sizes. Note that 2020 data uses the 5-year estimates because the ACS did not collect 1-year data for 2020.

To be consistent across metropolitan areas, the poverty definition for non-Bay Area metros is twice the national poverty level. Data were not adjusted for varying income and cost of living levels across the metropolitan areas.

The debt settlement market, valued at $8.01 billion in 2025, is projected to experience robust growth, exhibiting a Compound Annual Growth Rate (CAGR) of 10.3% from 2025 to 2033. This expansion is fueled by several key factors. Rising consumer debt levels, particularly in credit card and student loan debt categories, are primary drivers. Increasing awareness of debt settlement as a viable solution for individuals struggling with overwhelming financial obligations contributes significantly to market growth. Furthermore, the evolving regulatory landscape, while presenting some challenges, also presents opportunities for innovative debt settlement solutions. The market segmentation reveals a strong presence of both private and enterprise end-users, indicating broad applicability across diverse consumer demographics and business models. North America, particularly the US, is anticipated to remain a dominant regional market, owing to higher levels of consumer debt and a more developed debt settlement industry. However, growth in regions like APAC (Asia-Pacific) is expected to accelerate as awareness and adoption increase. Competition within the market is intense, with numerous companies offering a range of services and solutions. The sector's future growth depends on the continued evolution of consumer debt levels, regulatory developments, and the success of companies in adapting to changing consumer needs and preferences. The increasing sophistication of digital platforms and technological integration within debt settlement services is also a key factor driving the market forward. The competitive landscape features a diverse range of established and emerging players. These companies employ various strategies, including negotiation with creditors, debt consolidation, and financial counseling, to offer tailored solutions. The success of these companies hinges on their ability to secure favorable settlement terms for clients while maintaining ethical and transparent practices. Differentiation within the market stems from specialized services, technological capabilities, and brand reputation. While challenges such as stringent regulations and fluctuating economic conditions exist, the long-term outlook for the debt settlement market remains positive, driven by sustained demand and ongoing innovation within the industry.

According to a study conducted in 2023, ** percent of aspiring independent musicians in the United States and Canada struggled with lack of exposure. While ** percent of surveyed musicians see themselves challenged by building a fanbase, ** percent of them experience financial difficulties.