Fed survey reveals inflation's damaging impact on US household finances.

The Federal Reserve's 2022 Survey of Household Economics and Decision Making (SHED) report found that historically high inflation had a significant impact on Americans' finances last year, with rising prices outpacing wage gains and reducing household budgets. The share of US adults who reported being worse off financially than a year earlier rose to 35%, the highest level in nearly a decade. The report also found that financial well-being declined markedly, with 73% of respondents saying they were doing at least OK financially, a drop of five points from the year prior. Additionally, anxiety about being able to afford retirement increased, with only 31% of non-retirees reporting that their retirement savings plans were on track last fall.