Employment costs rise
The Department of Labor’s Bureau of Labor Statistics reports that civilian workers’ compensation rose 2.5% for the year ending September 2017. Wages and salaries cost private employers an extra 2.6%, while benefit costs rose 2.4%. Employers typically pass their increased expenses on to consumers or clients through price hikes.
Small business creates jobs
Businesses with fewer than 500 employees created 62% of new jobs since the Great Recession, or 8.3 million of the net new private sector jobs. This news is courtesy of the U.S. Small Business Administration’s Office of Advocacy. During the past two decades, existing businesses of all sizes created almost nine out of 10 new jobs, or 87%.
Healthcare costs more than retirees expected
As healthcare costs continue to rise, it is no surprise that four out of every 10 retirees experience higher costs than they originally anticipated. According to the financial services industry organization LIMRA and its Secure Retirement Institute, about a quarter experienced higher-than-expected basic living expenses, of which healthcare is a part.
About half of Americans could be faring better financially
The Consumer Financial Protection Bureau (CFPB) developed a 10-question survey and found Americans’ average financial well-being could be better. The CFPB created a scale between 0 and 100 from which scores of 50 or below are associated with both a high probability of struggling to make ends meet and of experiencing material hardship. The average score was only 54. Scores of 61 and higher indicated a low probability of having trouble paying for basic needs.
|Next Article||March 2018 Newsletter||Previous Article|