It’s no secret that the U.S. economy in 2025 has been particularly turbulent.
For starters, the unemployment rate is up, especially the Black unemployment rate, and layoffs hit a multi-year high. It should be no surprise, then, that Americans feel their financial situation worsening. In fact, nearly 50% of Americans said they experienced this in 2025, according to a recent survey conducted on behalf of Intuit Credit Karma. Why? A combination of unexpected expenses, falling behind on payments, and struggling to afford necessities.
The outlook for 2026 is not bright on the job market front, which will, naturally, affect personal finances. Companies face slow growth, and at least 27% of those surveyed are worried about being laid off in 2026. For Gen Z and millennials specifically, it’s closer to 40% who are concerned about being let go. More workers are, as a result, staying put in jobs they’d otherwise want to leave in order to maintain financial stability.
Despite economic and employment turbulence, it’s important to not lose hope in personal finances being able to improve. “The best thing you can do after a year of financial challenges is to not let regret paralyze you and stop you from making progress,” Courtney Alev, a consumer financial advocate at Intuit Credit Karma, said.
To improve personal finances, start by knowing your financial habits in order to know what needs to change — an app or personalized spreadsheet can help. Then, it’s important to build systems, per Alev. If impulse buying, not saving, and overspending on non-essentials are top concerns — as they were for those surveyed — work on changing that behavior. Build systems by, for example, automating savings, having someone keep you accountable on impulse purchases, or setting a budget and sticking to it.
Tax season can also provide a monetary cushion, especially with as many as a third of those surveyed relying on their tax returns to make ends meet. “Most filers receive a refund, and last tax season the average was more than $3,000. For many households, that’s the largest check they’ll see all year,” CPA and TurboTax tax expert Lisa Greene-Lewis said.
Tax returns might be more robust in 2026. “Many filers can expect to see an increased refund or lower balance due, in some cases by as much as $1,000,” Greene-Lewis added. Filing early usually means getting that money earlier.
While the financial situation of many Americans took a hit in 2025, instability remains likely ahead. Being more strategic than ever with personal finances can help buffer these effects. Keep systems in place to build and maintain healthier money habits.
This story is for informational and educational purposes only, and it is not financial advice.