How the pandemic changed American saving

Government support like stimulus checks and expanded unemployment insurance have kept overall American income elevated throughout the pandemic's economic uncertainty. But many Americans, including those who received government support, mostly saved instead of spent in 2020.

So, where have (and haven’t) people been spending their money? USAFacts has the metrics on how US spending and saving have fluctuated during nearly two years of this pandemic.

• While overall income returned to pre-pandemic levels by April 2020, household spending didn't hit pre-pandemic levels until this past March. 
   
• August spending on restaurants and hotels was 0.79% below January 2020 levels. Meanwhile, spending on travel abroad increased 38%, the most since January 2020. The second-largest increase was in apparel spending: 19.79%.

• Americans saved an average of 6% to 7% of their overall income each month before the pandemic. The saving rate has averaged 15.3% since the pandemic began, with spikes in the months when people received stimulus checks or unemployment insurance. 
   
• While the higher saving rate is true for America in aggregate, it does not speak to the experiences of individual families. According to the Census Bureau’s Household Pulse Survey, in mid-September, 27.6% of adults lived in households where it has been somewhat or very difficult to pay for usual household expenses.

Are you spending more now than earlier in the pandemic? See how your household spending stacks up against national trends in this report.


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