Financial Anxiety on the Rise: BMO Index Highlights Growing Concerns Among Americans

In a troubling report released on June 4, 2025, the BMO Real Financial Progress Index revealed significant increases in financial anxiety among Americans from March to April 2025. As economic uncertainties and market fluctuations continue to dominate headlines, many individuals are expressing heightened concerns about their financial well-being.

Increased Concerns Across Generations

The index shows that 59% of Americans report feeling more anxious about their overall financial situation, a staggering 14-point increase from March. Notably, younger generations, including Gen Z and Millennials, have experienced the sharpest rise in financial worries. Concerns among these demographics surged by 17 points over the previous month.

Additionally, the study found that 75% of Americans are increasingly worried about the cost of living, marking a 12-point jump since March. Gen Z respondents alone indicated an alarming 18-point increase in their anxieties related to living costs.

Scott Anderson, Chief U.S. Economist at BMO, commented on the shifting sentiments: “Consumers have reported that higher tariffs and the uncertainty these create are significantly affecting their financial outlook, particularly impacting the younger population who tend to lack substantial savings.” He continued to emphasize the vulnerability of younger workers, who often face job displacement and have less financial cushion against rising costs of essential goods.

Tariff Concerns and Inflation Woes

The survey highlighted that 67% of Americans are expressing concerns over import tariffs, with a marked increase from 59% in March. This uptick indicates a growing unease about how such tariffs could further affect their financial stability amid rising costs.

Furthermore, 71% of Americans reported greater concerns about inflation compared to just 63% in the previous month. Among Gen Z respondents, the figure was particularly high, with 70% expressing increased anxiety—a 13-point increase overall.

The rising costs of daily necessities are compounding the worries, with 26% of Americans noting a growing fear of potential job loss. Among younger adults, this concern is even more pronounced: 38% of Gen Z and 33% of Millennials are feeling the heat regarding employment security.

Seeking Guidance in Uncertain Times

As financial pressures mount, the demand for trustworthy financial guidance has never been higher. Paul Dilda, Head of U.S. Consumer Strategy at BMO, stressed the importance of practical advice: “Real financial progress starts with actionable strategies like budgeting and informed credit use. Our aim is to empower individuals to take control of their financial situation.”

Amid rising costs and worsening financial uncertainty, many Americans are seeking reliable information to help them regain a sense of autonomy over their finances and future.

The Path Ahead

In response to the escalating financial concerns, BMO is focused on equipping clients with effective tools for managing risks while pursuing their financial objectives. Michele Havens, Head of BMO U.S. Wealth Management, stated: “Our clients are demanding personalized financial advice now more than ever. Our role is to foster resilience and provide proper strategies to navigate this unpredictable economic landscape.”

Launched in 2021, the BMO Real Financial Progress Index aims to provide insights into consumers' perceptions of their finances and stimulate conversations focused on achieving financial goals. The latest survey was administered by Ipsos, collecting data from 2,500 adults across the U.S. in March, with follow-up questions posed to a further 2,009 respondents in April.

For those looking to improve their financial situation amid uncertainty, BMO offers resources designed to facilitate meaningful financial progress. For more information, visit BMO Financial Progress.

Overall, the BMO Real Financial Progress Index paints a vivid picture of the growing financial concerns among Americans, potentially foreshadowing the need for adaptive financial strategies in the months ahead.