War With Iran Is Hitting American Wallets Hard — Here's What Families Are Paying at the Pump and Beyond

For millions of American families, the ongoing U.S. military conflict with Iran is not just a foreign policy story — it's a kitchen table issue showing up in their gas tanks, grocery bills, and monthly budgets. A growing number of people say the financial squeeze is becoming harder to manage with each passing week.

A new poll from ABC News, The Washington Post, and Ipsos paints a stark picture: four in ten Americans say they are worse off financially than they were when President Donald Trump began his second term in January 2025. Nearly one in four say they are actively falling behind. Half of all Americans expect gas prices to climb even higher over the next twelve months.

The numbers reflect a conflict that has dragged on for months and disrupted global oil markets in ways that reach directly into everyday life — from the cost of filling up a car to the price of a rideshare trip to the grocery store.

Why Gas Prices Are Rising

The core driver of higher fuel costs is a disruption to one of the world's most important oil shipping routes. Iran has blocked the Strait of Hormuz in retaliation for U.S. military action — a narrow waterway through which roughly 20% of all oil traded on global markets normally flows. When that supply channel gets choked off, prices rise for everyone who buys gasoline, diesel, or anything that requires fuel to produce or transport.

The ripple effects go well beyond the gas pump. Higher fuel costs push up prices on food, goods, and services across the board, compounding financial pressure on households already stretched thin.

Real People, Real Costs

Jacob Olson, 28, lives in Beebe, Arkansas, and knows this pressure well. After losing his job as a warehouse manager when the solar company he worked for went bankrupt, Olson started his own small business making custom wood projects like storage racks. The work requires him to drive to customers regularly — meaning rising gas prices hit him directly in the pocket.

"One day at a time," Olson said. "One foot in front of the other. ... That's about the way to sum it up."

With two young children at home — including a newborn — Olson said discretionary spending has essentially vanished from his life.

"I don't really do anything, you know, for leisure or luxury anymore," Olson said. "It's all kind of just getting the bills paid ... I have a 1-year-old, and I just had another baby about a month ago, so I've got two little ones, and every day it's getting harder."

In Lubbock, Texas, Brenda Howard, 66, faces a different version of the same problem. She doesn't own a car and relies on rideshare apps like Uber and Lyft to get to work as a cleaner and to run basic errands. As fuel prices have surged, so have rideshare fares — a round trip to the grocery store now costs her around $30.

"This is not the way I thought my retirement was gonna turn out," Howard said. "I never dreamed that it would be a day-to-day struggle, sometimes hour to hour."

Martha Davis, 66, of Tool, Texas, works as a caretaker for her disabled son and regularly has to travel up to 60 miles for medical appointments. What used to be a manageable fuel expense has ballooned dramatically.

"I used to get back and forth on like $20, $25, but now it's almost 70 bucks," Davis said.

Changing Habits to Cope

The poll found that Americans are making real behavioral changes in response to higher gas prices. More than four in ten — 44% — have cut back on how much they drive. A similar share, 42%, have trimmed household expenses elsewhere to compensate. About one in three have changed or canceled travel and vacation plans.

Lower-income households are feeling the pressure most acutely. Among Americans earning under $50,000 per year, more than half say they have reduced driving and cut back on household spending.

Jim Piper, 36, of Portage, Indiana, lives on a fixed income due to a disability. For people in his situation, inflation doesn't come with any relief valve — expenses go up while income stays flat.

"I got to pay more, even though I'm not making more," Piper said.

Mixed Signals on Relief

President Trump's public statements about gas prices have sent conflicting messages to consumers. When asked in early April whether prices might drop before the upcoming midterm elections, Trump suggested they could stay steady or even rise further. Then on May 1, he said prices would come "tumbling down" once the conflict with Iran was resolved. Iran is currently reviewing a U.S. proposal aimed at ending the war, according to a spokesman for Iran's foreign ministry.

Some Americans who report being worse off financially still express support for the president, while others have grown critical. Andy Breedlove, 51, of West Virginia, said he believes Trump is performing well overall but acknowledged that gas prices are too high. He suspects they will keep climbing as long as the war continues.

Christopher Mosley, 43, a former Walmart employee from Fort Smith, Arkansas, described Trump as "reckless" on foreign policy. Olson, the Arkansas woodworker, questioned the administration's transparency about why the U.S. entered the conflict.

"He hasn't made a clear statement on why ... we're actually participating at all," Olson said. "From what I know, there's been a lot of just lying and, you know, not being transparent, and ... a big lack of professionalism, which I don't appreciate coming from the president."

The ABC News/Washington Post/Ipsos poll found that 61% of Americans believe the decision to go to war against Iran was a mistake. With midterm elections approaching — a cycle in which Democrats are already positioned to make gains — the economic frustration felt by voters across party lines could have significant political consequences. Trump has described a potential shift in congressional power as an existential threat to his presidency.