The brightest spot Discover Financial’s monthly survey is that consumers
are still managing to have money left over after paying monthly bills.
According to the Spending Monitor, 51% of consumers said they still had money
left over at the end of the month, compared with 55% a year ago. However, of
those who have money left over, only 68% said they have the same or more left
over compared with the previous month, compared with 81% last September.
MediaPost Publications – Dollar By Dollar, Economy Eating Away At Consumer Spending – 06/05/2008
The rising cost of basic household expenses–particularly gas and food–is cutting drastically into household budgets, affecting discretionary spending on all levels–from small things like movies and dining out to larger purchases like vacations and home improvements. And things don’t look to be improving anytime soon.