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Grocery prices are Americans' top affordability challenge

News | 2026/08/05 16:08

Grocery prices are Americans' top affordability challenge

Food costs are the main financial challenge for Americans

Most Americans cite rising food costs as their top affordability challenge, according to a report by the McKinsey Institute and the W.K. Kellogg Foundation:

The survey found that 90% of respondents identified grocery prices as a primary financial concern, even more than housing and healthcare expenses:

“We face a common challenge, and that is the rising cost of living,” said John-Paul Julien, a partner at McKinsey & Company:

Rising Food Prices

A separate analysis by the Urban Institute released in 2025 found that many families used credit cards to pay for groceries, and many struggled to make minimum monthly payments:

About 35% paid for groceries with a credit card and paid their bills in full, while 20% paid less than the full balance but still made the minimum payment, and 8.7% did not always make the minimum payment:

“Food prices have increased by about 25% over the past five years,” said Kassandra Martinchek, a public policy expert at the Urban Institute:

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