As an increasing percentage of Americans report they are having trouble making ends meet, many are cutting their retirement savings to ease their financial burden.

According to the 7th annual Personal Finance (P-Fin) Index, 1 in 4 American workers of all ages have cut their retirement savings in the wake of soaring inflation, which hit a 40-year high last year. According to the study jointly conducted by TIAA Institute and the Global Financial Literacy Excellence Center at George Washington University School of Business, 12% said they have stopped saving completely,

The cuts in retirement savings mirror a larger financial challenge, with 30% of Americans finding it difficult to make ends meet last year, up from 24% in 2021. In addition, 26% of Americans report being debt-constrained, up from 20% the year prior, and 39% lack nonretirement savings sufficient to cover one month of living expenses, up from 32% a year ago, indicating that many may have dipped into savings to deal with the increased cost of living, according to the study.