Tariffs are a hot topic in the news—will they stay, will they go, and what impact are they having on various industries? We took a look recently at the impact of tariffs on Americans in our latest Logica Future of Money Study. The findings do reveal some differences in how people perceive the impact of tariffs on their personal finances and the economy—and that those effects and anticipated effects of tariffs are significant. To see the highlights of the study, you can sign up to get a copy here.

Tariffs Drive Price Hikes and Economic Worry for Americans

According to our study, more than half of Americans believe tariffs will negatively impact them in the next six months, with the rising cost of goods being one of their most pressing concerns. CNN shares that as tariffs increase on imports, retailers, automakers, and manufacturers are already preparing for price hikes on everyday products. This includes well-known companies like Walmart, Ford, and Mattel, who expect to pass on higher costs to consumers. In fact, the Center for American Progress has projected that these tariff-related expenses for the typical family could climb to around $4,600 per year.

Additionally, our study found that a significant portion of Americans (57%) feel the economy will be negatively impacted by tariffs—and people see tariffs harming both the local and national economy. According to a recent article in Investopedia, tariffs are expected to have a significant impact on the economy with experts predicting a rise in inflation followed by an increase in unemployment. As inflation increases due to higher prices on imports, consumer spending will likely slow, leading to a potential economic slowdown.

Anticipated Financial Struggles and Vulnerabilities

Our recent Future of Money Study also revealed a clear link between economic vulnerabilities and perceptions of tariffs. Americans who believe they will be negatively impacted by tariffs tend to face more significant financial hurdles. These individuals are more likely to not be working, have household incomes below $75,000, and/or report dissatisfaction with their employer and job security. Additionally, many are less likely to spend, save, or contribute to a 401(k). This connection between economic vulnerability and concerns about tariffs is further underscored by the specific financial worries Americans have about their everyday lives.

Americans who expect a negative impact from tariffs largely cite the rising cost of goods and a weakened economy as their primary concerns. According to our study, 77% of participants anticipate an increase in the cost of everyday items, while 72% expect higher prices on imported goods. Additionally, 67% believe tariffs will harm the national economy, and 64% feel they will negatively affect the local economy, and 51% of respondents worry that tariffs will limit the variety of goods available.

Despite these negative views and overall negative economic outlook, half of Americans report that their own financial well-being is still “good,” even though many are feeling financially stressed. This reflects a persistent tension between the broader economic conditions and individuals’ personal financial experiences. To find out more, sign up for our highlight report.

Some Positive Views Despite Widespread Concerns

While the overall sentiment toward tariffs is predominantly negative, our study reveals that about one in five (22%) of Americans feel that tariffs have had a positive impact. According to University of Chicago experts, tariffs serve three main purposes: raising funds for the U.S. government, redistributing money from consumers to domestic producers, and strategically influencing the global market by shifting prices or acting as sanctions against foreign exporters. These goals aim to protect domestic industries, generate revenue, and shape global trade dynamics. Those who see a positive impact in our Future of Money Study, view these tariffs as strengthening national and local economies and helping local businesses compete more effectively. However, the Future of Money Study shows that this positive perception remains in the minority, with the majority focusing on the adverse effects.

The Bottom Line: Tariffs and Financial Well-Being

While the effects of tariffs may be debated in political and economic circles, the latest Logica Future of Money Study shows they are clearly impacting the daily lives and outlook of Americans. For those struggling financially, particularly those who are not working or have lower household incomes, tariffs are making it harder and are anticipated to continue to make it harder to manage rising costs. Although there is a smaller contingent who believes tariffs help strengthen the economy, this positive view is overshadowed by the widespread belief that tariffs are driving up the cost of living and weakening the overall economic landscape.

The study’s findings highlight an ongoing challenge for policymakers and businesses: how to balance the intended benefits of tariffs with the financial realities facing everyday Americans. As the imposed tariffs continue to evolve and change, Americans’ financial well-being will remain inextricably linked to their ability to cope with the rising cost of goods and navigate the economic uncertainty ahead. To get a copy of the highlight report, sign up here. For a deep dive into the findings, explore the Insights Kit.