Half of NY households face cost-of-living crisis

New York City is becoming a tale of two halves, as 50 percent of households struggle to afford basic necessities such as food, transportation and rent while the other half thrives, data shows.

Jonathan Bonds, 40, a plumber and carpenter "born and raised" in Brooklyn, remembers when things weren't so hard before the COVID-19 pandemic. He has had to take on more side hustles lately to boost his income.

"I just think that there are increased costs across the board,"Bonds told China Daily. "Food, rent is very difficult as well, everyday costs, gas, because I drive — I don't know why — it's very expensive as well. Utilities are very expensive, those have gone up for me exponentially over the past three years, since the pandemic hit. I'm barely above water."

New York City is in the grip of the worst cost-of-living crisis in 20 years, according to a report by the Fund for the City of New York. The organization was established by the Ford Foundation in 1968 and the United Way of New York City to improve the quality of life for all New Yorkers.

Also, when compared to the "Overlooked & Undercounted: Struggling to Make Ends Meet in New York City report" for 2021, the number of households without adequate income has grown significantly. Two years ago, just 36 percent of working-age households struggled to make ends meet.

But not everyone is cash-strapped. The average bonus paid in 2022 to those working in the securities industry was $176,000, according to New York state Comptroller Thomas P. DiNapoli. The average salary of a securities analyst was $151,720 as of March.

In most other sectors in the city, the median household income is $70,663, data from the Census Bureau showed. But the report estimates that households must make $100,000 to afford the basics. Families in southern New York City must make $150,000.

Angelica, a 25-year-old video editor who did not want to give her family name, has been living in Bedford Stuyvesant, Brooklyn, for a few years. She has to move out due to rising costs. She admits that her salary makes things tight.

"I'm struggling to cope with rent and food," she told China Daily."It's so hard on my own. The rent and food are the hardest to pay. I'm forced to take on more work."

Hispanic, immigrant and black families were hardest hit with rising costs. But overall, money is tight in 80 percent of households with one working adult, the report said.

Reiner Gonzalez, a retired 61-year-old from the Bronx, has one son aged 40. She was on her way to pick up groceries when she stopped to complain about how hard things become.

"Oh my gosh it's expensive," she told China Daily. "The worst thing is the rent, that's number one. And the food, that's number two. It's much more expensive than a year ago."

belindarobinson@chinadailyusa.com