*This is the first post in a series highlighting different groups of metro Atlanta residents and their views on relevant regional topics, based on data from ARC’s Metro Atlanta Speaks Survey data. 

We often hear about the economy in broad terms—a combination of forces beyond our control, such as economic policies, housing market dynamics, and corporate influences. We hear that the U.S. economy is in trouble- though that’s debatable. A 2023 Federal Reserve report signals a more nuanced picture. Regardless, the economy rose to the #1 concern for metro Atlantans this year in 2024, overwhelmingly… across all income classes.

But… How does that perception translate down by income class(es)? For most of us—that is, low- or middle-income earners living in the  metro Atlanta locale of the U.S.—we’re not betting millions on the next crypto boom. Instead, we are tucking away some income in a savings account or spending change on some fries. If we zoom into your life, your neighborhood, your grocery store, what do the people in your life, here, in metro Atlanta think?

To inform an answer to this, we turn to the latest 2024 data from the Metro Atlanta Speaks Survey results.

*Note: While this analysis provides insights into collective trends, individual opinions will vary. These findings represent broad patterns, not opinions for every individual person.

Overview of Metro Atlantan Sentiment on Personal Finance(s)

So, the above chart’s admittedly a bit predictable. The survey found that low-income earners are more than twice as likely as high-income earners to feel worse off financially in 2024. Each income class income grouping is more positive about their financial situation as they approach the high-income range.

Different Income Classes Have Different Levels of Financial Stress

Let’s explore why different levels of income earners in Atlanta may feel the way they do. Compared to high-income earners, low-income earners cannot get money right now if they have a $400 emergency- 32% vs 2%. Further, a higher share of lower-income earners said that they had to borrow money from people and/or sell and pawn something to afford that emergency $400 expense. 

As we go up the income distribution to middle-income– cash, borrowing, and credit seem to become more available. Finally, when we get to higher earners, almost all such households can either flat out afford the cost with cash, check, or debit or put the expense on credit. 

Let’s take a deeper historic look (chart below) at the spending mechanisms of low and medium-income earners.

Most middle-income respondents use credit cards or cash, check, or debit. There has been a seven percentage point increase in credit card use over the past 8 years and a ten percentage point decrease in those using cash, check or debit–again for such a $400 emergency. Middle-income earners are becoming more reliant on putting emergency expenses on credit cards.

Lower-income earners expressed an increase in their ability to get money through credit card and capital resources like cash, check, and debit during the COVID-19 pandemic onset. It seems that low-income earners felt the pandemic resources assisting them. So what is happening now? Well, as seen above, low-income earners indicate that that might be losing access to credit. Low-income earners in the past several years are once again expressing financial difficulty in getting money for a $400 emergency.

Regional Quality of Life and Personal Finances Not Related?

It is intriguing that even though low-income groups have overwhelmingly negative sentiments on the economy, have felt less access to financial resources, and see the economy as the region’s biggest concern, low-income earners have a sizable increase in optimism about future living conditions in Metro Atlanta (see above chart).

Middle-income groups also had an increase in optimism about future living conditions even though they indicated middling financial conditions, including increased reliance on credit spending, lessening pre-existing capital spending, and increase in the economy as their  biggest concern at the regional level.

There seems to be a clear disconnect between feelings about the economy in metro Atlanta and feelings about prospective living conditions in metro Atlanta, specifically amongst those Metro Atlantans who tend to struggle more with finances.  It’s quite possible that other factors outside day-to-day financial experiences may inform perceptions and attitudes about life in the region.

The Roll Up

So what can we conclude about how our low and middle-income neighbors think about the metro Atlanta economy?

  1. Low-income earners experienced a brief improvement in financial resources during the pandemic, but now report declining access.
  2. A shift from cash and debit to credit card usage for emergencies reflects growing reliance on credit.
  3. Increases in positive sentiment about life in the metro Atlanta region are not in alignment with stated negative and middling financial experiences for those who struggle with finances, namely low and middle-income earners

Thanks for reading! Don’t miss our next post: “Your Baby Boomer Neighbor’s Thoughts on the Future.”