Fed Sees Sharp Rise in Food Struggles as More Americans Skip Meals

CNN, NPR, CNBC, the Hill, Reuters contributed to this report.

More Americans are having a hard time keeping food on the table, and the Federal Reserve Bank of New York says that could help explain why consumer sentiment has sunk so low even while the broader economy keeps grinding forward.

In a report released Wednesday, New York Fed researchers said food insecurity has risen “remarkably” over the past few years, especially among lower-income households, less-educated households and families with young children. That means more people are dipping into savings, skipping meals, relying on food donations, or leaning on federal nutrition aid just to get by.

The numbers are hard to ignore. In February 2026, 10% of households said they did not have enough food, up from 4% in June 2020. More than one-third said they had used savings to cover expenses. The share of households getting SNAP benefits also climbed, along with the number receiving food donations.

The Fed’s researchers said the pattern fits the familiar “K-shaped” economy. Households at the top have been helped by rising stock prices, home equity and stronger finances. Households at the bottom have been squeezed by stubborn inflation, higher living costs and the fading of pandemic-era aid.

That pressure is showing up in the mood of consumers, too. The New York Fed said food insecurity lines up with growing pessimism about personal finances, especially among lower-income Americans. It is not proof of cause and effect, but it looks like a big part of the story behind today’s grim consumer sentiment readings.

The pain is broad, but it is hitting some groups harder than others. Among households earning less than $50,000, food insecurity was about twice as high as the national average. Nonwhite households and families with children also reported much higher rates of missed meals and food hardship.

The timing matters, too. The survey was taken before the latest spike in gas prices tied to the Middle East conflict, meaning affordability pressures likely got worse after the data was collected.

Food banks are already seeing the fallout. Many say lines are growing longer, demand is more intense, and families who used to get by are now showing up for help. For a lot of Americans, one extra bill is enough to knock groceries off the list.

The New York Fed’s message is pretty blunt: the economy may look fine on paper, but plenty of households are living in a very different reality.