A new survey conducted by the American Federation of Government Employees reveals that many federal workers are facing significant financial pressures as housing costs, student loan payments, and dependent care expenses continue to rise.
AFGE conducted the 2026 Affordability Survey to better understand the financial challenges confronting its members as living expenses continue to rise. More than 1,600 union members nationwide participated, providing a snapshot of the affordability challenges currently facing federal workers and their families.
“With the rising cost of living impacting families across the country, it is critical that policymakers understand the financial realities facing federal employees,” AFGE National President Everett Kelley said. “The results of our survey demonstrate the need for stronger pay protections and cost-of-living adjustments to ensure federal workers can continue supporting themselves and their families.”
Some key findings from the survey:
Housing costs remain a major expense
The overwhelming majority of respondents reported having housing-related expenses such as mortgages, rent, or lease payments. Among those surveyed, 13% spend between 9% and 18% of their monthly income on housing costs, while 23% spend between 18% and 26% of their income. Another 17% reported spending between 26% and 35% of their monthly earnings on housing expenses.
Nearly one-third of members are repaying student loans
Student debt continues to affect a substantial portion of the federal workforce. According to the survey, 28.9% of respondents are currently paying off student loans. Among those carrying student debt, 25% spend between 4% and 8% of their monthly income on loan payments, while 20% devote between 8% and 12% of their income toward repayment. Among respondents paying off student loans, 78% believe the handling of student debt issues has worsened under the current presidential administration.
Dependent care costs place significant strain on working families
More than half of respondents reported purchasing dependent care services, including childcare, eldercare, or care for other relatives. Younger and mid-career employees reported particularly high dependent care costs. Respondents between the ages of 25 and 34 spend an average of 47.4% of their income on dependent care expenses. Employees aged 35 to 44 spend 43.4% of their income on dependent care, while those aged 45 to 54 devote 40.5% of their earnings to these services.
Living expenses consume the vast majority of income
AFGE’s analysis found that members across all age groups are spending more than 90% of their income on a combination of housing, childcare, and student loan expenses. The highest financial burden was reported among employees aged 35 to 44, whose combined expenses average 111% of income. Workers aged 25 to 34 reported average expenses equal to 107% of income, while those between 45 and 54 reported costs totaling 95% of income. Respondents aged 55 to 64 reported average expenses equal to 97% of income, and employees 65 and older reported costs averaging 91% of income.
Affordability concerns span all generations
Affordability challenges span every age group, with respondents reporting concerns about keeping up with daily expenses and maintaining financial security. Many respondents expressed concern that wages have not kept pace with rising costs for housing, caregiving services, and education-related debt. The findings suggest that financial pressures are affecting recruitment, retention, and overall workforce stability.
AFGE developed the survey to better understand the financial needs and concerns of its members. The survey collected information on respondents’ age, income level, and spending on key necessities, including housing or rent, student loan repayments, child or dependent care, and other living expenses. While the initial focus was on the financial strain faced by younger federal workers, responses were gathered from members across all age groups. The survey also included an open-ended question, allowing members to share additional concerns in their own words.
AFGE leaders say the survey highlights the critical need for strong unions and robust collective bargaining rights as federal employees face mounting financial pressures. The union has pledged to continue fighting to restore and protect collective bargaining rights, arguing that federal workers need a strong voice to advocate for fair pay, meaningful cost-of-living adjustments, job security, and workplace protections.
As affordability challenges continue to impact employees across all age groups, AFGE will remain focused on defending the federal workforce and ensuring workers have the tools and representation necessary to protect their jobs, support their families, and build long-term financial stability.
