Household Finances Under Strain as Trump Aims to Boost Economy

Voters' economic concerns could impact midterm elections as inflation and cost of living pressures persist.

Jan. 28, 2026 at 3:47pm

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Americans are facing increasing financial stresses, with prices for everyday necessities continuing to climb and stretching household budgets. Voter frustrations over the cost of living have grown, potentially creating challenges for Republicans in the upcoming midterm elections. The White House has been trying to shift the narrative, but many Americans say their finances have not improved, and some are even turning to credit cards just to get by.

Why it matters

The economy is typically a top issue for voters, and dissatisfaction with Trump's handling of the economy could hurt the GOP's chances in the midterms. Affordability concerns and a potential economic downturn pose risks for the party in power.

The details

Inflation since the COVID-19 pandemic has pushed prices 25% higher over the last five years, stalling financial progress for middle- and low-income households. Businesses have cut back on job creation and hiring, while wages are only slightly outpacing inflation. Credit card debt and delinquencies are also mounting, with nearly 20% of Americans saying their finances worsened in 2025 and 60% saying they mostly stayed the same. Trump has tried to address issues like the high cost of housing, but economists expect limited progress due to longstanding construction challenges.

  • In 2025, nearly 20% of Americans said their finances got worse.
  • Over 60% of Americans said their finances mostly stayed the same in 2025.

The players

Donald Trump

The current President of the United States, who is trying to shift the narrative around affordability and the economy ahead of the midterm elections.

Ray La Raja

A political science professor and co-director of the UMass Amherst poll, who commented on the political challenges facing the Republican party.

Matt Schulz

The chief consumer analyst at LendingTree, who commented on the financial struggles faced by many Americans.

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What they’re saying

“We got to win the midterms, I mean, I'm here because I love Iowa, but I'm here because we're starting the campaign to win the midterms, we got to win the midterms.”

— Donald Trump, President of the United States (fox11online.com)

“Trump is facing the same problem (former President Joe) Biden faced: 'Do you believe me, or do you believe your eyes?'”

— Ray La Raja, Political science professor and co-director of the UMass Amherst poll (fox11online.com)

“Most Americans didn't see real financial progress in 2025, and for many, it felt like a step backward. Just paying for groceries, utilities, and other essentials continued to be a real challenge, pushing people to lean on credit cards just to get by. That puts many Americans in a pretty precarious position heading into 2026.”

— Matt Schulz, Chief consumer analyst at LendingTree (fox11online.com)

What’s next

The upcoming midterm elections in November 2026 will be a key test for the Republican party, as voters' economic concerns could significantly impact the results.

The takeaway

The persistent financial struggles faced by many Americans, including rising prices, stagnant wages, and increasing reliance on credit cards, pose a significant political challenge for the Republican party as they try to maintain control in the midterm elections. The White House's efforts to shift the narrative have so far had limited success, underscoring the deep-seated nature of the affordability crisis.