How Older Americans View and Respond to Price Pressures

AARP conducted research from July 16 to July 20, 2026, to understand how adults 50 and older are navigating the current economic environment. The findings show a nearly universal perception that prices for goods and services have increased, which is causing significant changes in household spending and behaviors. These impacts are most pronounced among women and adults ages 50 to 64, who report higher rates of financial strain and more frequent cutbacks than their counterparts.

The survey revealed six key findings regarding the financial experiences of older Americans:

1. Perception of rising prices is near-universal. Currently, 94% of adults 50-plus agree that prices have risen over the past few months, with 67% reporting they have risen “a lot” and 27% reporting they have risen “a little.”
2. Financial pressures drive widespread spending cutbacks. Significant numbers of adults 50-plus have cut back spending in the past month, with those ages 50 to 64 consistently reporting higher rates than those 65-plus, such as for dining out (62% vs. 55%) and groceries (45% vs. 38%). Women also report higher cutback rates than men, particularly for groceries (48% vs. 34%) and clothing (55% vs. 37%).
3. Cutbacks hit discretionary items hardest, but essentials are not immune. In the past month, the most common areas for cutbacks among adults 50-plus were dining out or takeout (58%), entertainment (52%), clothing (47%), hobbies (42%), and groceries (41%).
4. Everyday inflation is the primary driver of behavior changes. Among those who cut back or delayed purchases, 72% cite rising prices for everyday items (excluding gas) as the cause, while 52% point to the increased price of gas.
5. Additional income drops would trigger further pullbacks. If household monthly income were 5% lower, the majority of adults 50-plus would spend less on dining out (74%), entertainment (67%), and clothing or hobbies (56% each). They would also delay large purchases (63%) and travel or vacations (61%).
6. Savings and lower-cost alternatives are the primary buffers. To cover expense gaps, 61% would take money from savings and 45% would choose lower-cost alternatives, though 35% say they would put the difference on a credit card.

Methodology

Interviews were conducted between July 16 and 20, 2026, among a nationally representative sample of 1,017 U.S. adults age 50-plus in the Foresight 50+ Consumer Omnibus. Funded and operated by NORC at the University of Chicago, Foresight 50+ is a probability-based panel designed to be representative of the U.S. household population age 50 or older. Interviews were conducted online and via phone. Data are weighted to the latest Current Population Survey (CPS) benchmarks and are balanced by age, sex, education, race/ethnicity, region, and AARP membership.

For more information, please contact Bryan Miller at bmmiller@aarp.org. For media inquiries, contact External Relations at media@aarp.org.