Language
English (en)
Publication Date
9-11-2025
Summary
For many households, particularly those with limited income or financial resources, medical emergencies, car repairs, sudden job losses, and unexpected expenses can quickly precipitate financial hardships. Emergency savings provide a buffer that allows households to manage disruptions and avoid reliance on options that incur high-interest debt. Addressing the lack of emergency savings is not just a matter of individual responsibility; it also poses a broader policy challenge with implications for public welfare. Drawing upon data from the nationally representative Workforce Economic Inclusion and Mobility survey, this brief reports on low-wage households’ experiences with shocks, savings, and hardships. It also discusses ways for employers and policymakers to broaden access to emergency savings.
Document Type
Research Brief
Category
Financial Inclusion
Subarea
Income Policy
Original Citation
Zheng, H., Roll, S., & Despard, M. (2025). Financial shocks, emergency savings, and hardship among low-wage workers (CSD Research Brief No. 25-48). Washington University, Center for Social Development. https://doi.org/10.7936/30x2-p507
Project
Workforce Economic Inclusion and Mobility (WEIM)
Keywords
United States ; policy ; emergency savings ; financial shocks ; public benefits ; Workforce Economic Inclusion and Mobility (WEIM) ; savings ;
Recommended Citation
Zheng, H., Roll, S., & Despard, M. (2025). Financial shocks, emergency savings, and hardship among low-wage workers (CSD Research Brief No. 25-48). Washington University, Center for Social Development. https://doi.org/10.7936/30x2-p507
DOI: https://doi.org/10.7936/30x2-p507