July 21st, 2014
Each month, Bankrate’s Financial Security Index attempts to capture the American financial climate. By asking survey respondents about their savings, their job security and their economic comfort levels, Bankrate tries to zero in on economic trends. While the results of their June survey show some improvement from prior findings, there is still a bit to be concerned about.
The biggest, and most concerning, takeaway from the June survey is that half of Americans have no more than a few months’ expenses saved away. 26 percent of respondents replied that they had no emergency savings at all, and 24 percent had some but less than three months. Only 23 percent of respondents had more than six months’ worth saved away.
Having savings is, of course, critical to economic health, and the groups that lack it break down in predictable ways. Retirees were much more likely to have larger emergency savings pools than younger Americans, for instance. A concerning 36 percent of those with high school educations or less reported having no savings, compared with just 10 percent of respondents with college degrees, further driving home the importance of education to a healthy salary.
What makes the savings picture even bleaker is the apparent lack of improvement from prior findings. Three years ago, a combined 46 percent had less than three months in savings, meaning the total has actually risen a bit. 34 percent of June’s respondents said they feel less comfortable about their savings now than they did a year ago. Just 18 percent feel better.
January 15th, 2014
We love Aathavan’s tip, which he actually got from his mother when he was a kid. On our Facebook page, we try to put up an inspiring/clever money quote each Monday. It should come as no surprise that many famous quotes encouraging saving and exercising self-control, as the lack of restraint typically leads to debt.
September 20th, 2013
5 Ways to Stay Motivated While Saving "Saving money is a long and sometimes difficult process, so while you’re on the road to reaching your goals, it’s important to stay motivated. Here are some tips on how to stay focused and enthusiastic." My Bank Tracker
April 8th, 2013
Even if your child hasn’t yet learned to walk, it’s never too early to start saving and budgeting for his or her college education. In these tough economic times, when it comes to creating and adhering to a successful savings plan for college, you may need to work over the long term to save enough money. In order to get a substantial head start on the rising cost of tuition, it’s a good idea to have several eggs in your basket when you're budgeting for college.
September 17th, 2012
The funny thing about personal finances is that things that don't seem to be directly about money often have a huge effect on your personal finances and general well-being. When one talks about financial self-improvement, the automatic assumption is that they will be talking about money. It could be about better ways to save money, better ways to invest money, better ways to spend money, but it almost always will have something to do with money.
June 18th, 2012
No matter how little I've had, there have always been times in my life when I'll find myself with a little extra cash. The strangest was a literal "Pay it forward" moment in college when a guy in a business suit walked up to me on the street, handed me twenty dollars, said "Pay it forward," and walked away.
May 14th, 2012
What are the reasons that people use savings accounts these days? Is it to establish a rainy day fund, to save up to buy a house, or maybe saving money for your child’s college fund? The main purpose of a savings account is to put your money away in a risk-free account and have it earn interest and grow.
May 7th, 2012
Did you know that 62 percent of American adults consider themselves “savers” instead of “spenders”? Things may be looking up for those living paycheck to paycheck. The vast majority (80 percent) of U.S. adults are able to save money right now, according to a survey performed by Harris Interactive on behalf of Barclays.
March 27th, 2012
Guess what? I’ve got a fever. And the only prescription... is more Roth IRA education! When Good Financial Cents blogger Jeff Rose asked a class of graduating college seniors if they had ever heard of a Roth IRA, out of the 50 class participants, no one raised their hand. (To be frank, I wouldn’t have been raising my hand in my day, either.)
February 21st, 2012
Recycling, donating to charity, eating organic, signing petitions—there are many ways you make a difference. But none of them was ever this profitable. Welcome to socially responsible investing, a growing trend in which investors only buy investments that align with their values.