It's been a rough few months for
The mother of two has run into delays applying for unemployment and food stamps in
Caudle, who is self-employed, sublet a spot at
"I'm panicked. I've run through my entire savings," says Caudle, who returned to work a few weeks ago. But she has put in fewer hours with less clients due to social-distancing measures.
"If the state shuts down the salon again, I don't know what I'll do," says Caudle, 35.
Across the country,
"As soon as our expenses were cut, I immediately started saving more," says Walker, who's a senior credit and collections specialist at a cement manufacturer. Her husband works with children in youth services.
The coronavirus recession has split America in two: those who are still financially intact, and others facing lasting scars.
More than two-thirds of Americans say they still need a second stimulus check from the government to help make ends meet, according to recent data from tax preparer
"Another round of stimulus is badly needed," says
More states have paused or rolled back their reopening plans following a resurgence in coronavirus cases, which could cause more people to lose their jobs, experts say. A staggering 51.3 million Americans have filed for unemployment over the past 17 weeks during the pandemic.
"If we do get a big pullback in income in August, that will directly affect people's ability to spend, which creates a risk for the economic rebound," Daco says.
A quarter of Americans are using the stimulus money to cover major bills including their rent or mortgage, student or car loans and hospital bills. And 20% are using the money to pay for essentials like groceries or medical supplies, the Jackson Hewitt data showed.
"This should give us all pause for concern because some Americans are still in dire need of more money," says
Some Americans remain unscathed
There are workers who have been more insulated from the recession and have used the pandemic as a time to build their nest egg. Nearly a third of Americans have put their stimulus money into a savings or retirement account,
Walker, for instance, upped her 401(k) contributions and maxed out her Roth IRA.
She and her husband received a
"It's conflicting. In one way I want the world to go back to normal because we miss our friends and our fun activities," Walker says. "But it's also nice to save more money and see those retirement balances shooting up."
About 3% of people donated their stimulus checks to those in need, according to
Middle-class households face hurdles
The pandemic has revealed how much middle-income households are financially vulnerable, according to
"It's understandable that people have anxiety about the future," Schneider said. "There's much concern about future employment and bills being paid."
About 51% of the middle-income families who have been financially affected by the pandemic are concerned about running out of money to pay for basic necessities by the end of the year, according to a recent survey from Primerica.
The survey gauged the financial outlook and preparedness of those with annual household incomes between
About 86% of middle-income households that said they have been financially impacted by the pandemic in at least some way. Just over a third of respondents believe their personal finances will recover from the effects of the recession in the next year.
About 61% of middle-income Americans have had to cut spending in the wake of the pandemic.
Will there be a second round of stimulus?
Senate Majority Leader
When it comes to enhanced unemployment,
Some experts argue that the government shouldn't continue to add to the growing
"If we do need more stimulus, let's give it more time and reconsider," says Dr.
"We could be going through a second wave of the pandemic, which could slow the economic rebound. But if the recovery is strong enough, it could withstand it."