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In mid-2025, more Americans are turning to AI-driven side hustles and digital jobs to boost their incomes because of economic instability and new tariffs imposed by the government. Popular side gigs include creating and selling digital products like e-books, nutrition guides, and doing freelance work that utilizes artificial intelligence. Economists link this growing trend to consumer anxiety about rising prices and changing job market conditions caused by these tariffs. Overall, people are increasingly looking to flexible online opportunities as a reliable way to maintain financial stability amid the uncertain economic situation.

On July 4, 2025, Congress approved a major new tax policy called the "One Big Beautiful Bill," significantly changing America's personal finance landscape. This law permanently keeps federal income tax brackets at their current levels and increases benefits, such as raising the standard deduction amount to $15,750 for single people and $31,500 for married couples. Also, it lifts the cap on state and local tax write-offs (known as the SALT deduction) to $40,000, and provides a lifetime estate tax exemption of up to $15 million per person. In addition, workers who earn tips can now receive up to $25,000 tip income tax-free in certain occupations. The new legislation also expands tax deductions for elderly citizens and charitable donations, while keeping popular tax advantages for real estate investors intact.

In 2025, inflation and new tariffs are significantly changing how Americans handle their personal finances and spending habits. Though official numbers show inflation has decreased from the highs experienced during the pandemic, prices for basic necessities like groceries, rent, and utilities continue to rise faster than incomes. Since 2020, this has meant an overall jump in prices of more than 20 percent, causing many Americans to struggle. As a result, around one in five households have started to stock up on everyday goods in case prices continue to rise or shortages occur. Additionally, new tariffs imposed by the Trump administration on imports from China, Mexico, and Canada could further raise prices, potentially costing American shoppers billions of dollars and adding more stress on household budgets.

Rising concerns over inflation are changing how Americans shop and budget their money. Many families are now stockpiling everyday items such as groceries and cleaning products, worried by the consistent rise in prices and new tariffs that could push costs even higher. Although the rate of inflation has come down from its highest point during the pandemic, it is still causing stress, with prices rising about 2.4% over the past year as of May 2025. Experts expect this rate to climb slightly in the coming months, putting more pressure on household budgets. Since 2020, prices have jumped more than 20%, making it difficult for wages to keep up and causing Americans to become more careful and prepared with their spending habits.

As artificial intelligence continues to advance, criminals have increasingly turned to "deepfake" scams, using fake audio and video to trick people into trusting them. Scammers create realistic AI-generated impersonations of law enforcement officers, bank employees or other trustworthy figures, deceiving victims into sending them money or personal information. These scams have caused serious financial problems for many people across the nation and damaged their personal reputations. To combat this growing issue, lawmakers recently passed new state and federal laws making the use of deepfake technology for fraud illegal. These new laws aim to help law enforcement prosecute scammers more effectively and curb the spread of AI-driven financial fraud.

With the Federal Reserve expected to cut interest rates soon, many Americans are quickly moving their money into accounts that currently offer high returns, such as high-yield savings, money market accounts, and short-term Treasury securities. People are making these financial decisions amid concerns about inflation, slowing economic growth, and uncertain global conditions, including conflicts overseas and changing politics in the U.S. As families worry about a possible recession, they are prioritizing saving money for emergencies, paying down debts, and choosing investments that are both safe and easily accessible.