Current:Home > NewsMajority of Americans feel behind on saving for emergencies, new survey reveals -Wealth Legacy Solutions
Majority of Americans feel behind on saving for emergencies, new survey reveals
TradeEdge Exchange View
Date:2025-04-10 05:01:50
A majority of households say they feel behind on saving for emergencies — with only 19% of families reporting that they increased their emergency savings balances since the beginning of the year, according to a new report from Bankrate.
Higher interest rates and inflation took a toll on American's saving accounts this year. Greg McBride, Bankrate’s chief financial analyst said, “Rising prices and high household expenses have been the predominant impediments to boosting emergency savings."
Key takeaways
- About 57% of households that did not increase their emergency savings or have no savings say inflation is keeping them from saving more.
- Thirty-eight percent say they're significantly behind on saving for emergencies and 22% said they're slightly behind.
- Nearly one-third of households have less emergency savings now than at the start of 2023.
- Many who are behind on emergency savings don’t think they’ll be back on track soon, or ever.
Emergency savings in 2023
Those with emergency savings vary by age and income
When it comes to age, older generations are more likely than younger ones to have less emergency savings now than compared to the start of 2023. About 21% of Gen-Zers responded saying they have less emergency savings. That's compared to 39% of Gen Xers who said they have less emergency savings now compared to the beginning the year.
The likelihood of having no emergency savings either now or at the beginning of 2023 decreases as household income increases, according to Bankrate data.
Student loan repayments:As repayment returns, some borrowers have sticker shock
Why do people have less emergency savings?
The top reason Americans haven’t increased their savings this year is inflation, cited by 57% of all households, followed by 38% of people saying they have too many expenses.
“Cutting household expenses in a meaningful way may not be feasible with the run-up in prices for mainstay items such as shelter, food, and energy over the past couple of years,” said McBride.
How to get a high yield:Savings account interest rates are best in years, experts say.
How was this data collected?
This data was collected by surveying roughly 2,500 adults in September regarding their level of emergency savings.
veryGood! (42195)
Related
- Chuck Scarborough signs off: Hoda Kotb, Al Roker tribute legendary New York anchor
- Stock market today: Asian stocks lower after Wall Street holds steady near record highs
- Max Strus hits game-winning buzzer-beater in Cleveland Cavaliers' win vs. Dallas Mavericks
- Sony to lay off 900 PlayStation employees, 8% of its global workforce
- Bill Belichick's salary at North Carolina: School releases football coach's contract details
- Hunter Biden tells Congress his father was not involved in his business dealings
- Taylor Swift Sends Love to Australia Despite Dad's Alleged Assault Incident
- Chiefs' Mecole Hardman rips Jets while reflecting on turbulent tenure: 'No standard there'
- McKinsey to pay $650 million after advising opioid maker on how to 'turbocharge' sales
- $1B donation makes New York medical school tuition free and transforms students’ lives
Ranking
- North Carolina justices rule for restaurants in COVID
- Sweden clears final hurdle to join NATO as Hungary approves bid
- Raquel Leviss Reacts to Tom Sandoval Comparing Cheating Scandal to George Floyd, O.J. Simpson
- Olympic gymnastics champ Suni Lee will have to wait to get new skill named after her
- Juan Soto praise of Mets' future a tough sight for Yankees, but World Series goal remains
- Kelly Osbourne Reveals She’s Changing Son Sidney’s Last Name After “Biggest Fight” With Sid Wilson
- How can you make the most of leap day? NPR listeners have a few ideas
- Prince Harry was not unfairly stripped of UK security detail after move to US, judge rules
Recommendation
Could Bill Belichick, Robert Kraft reunite? Maybe in Pro Football Hall of Fame's 2026 class
Leap day deals 2024: Get discounts and free food from Wendy's, Chipotle, Krispy Kreme, more
ESPN apologizes for Formula 1 advertisement that drew ire of Indianapolis Motor Speedway
How can you make the most of leap day? NPR listeners have a few ideas
DoorDash steps up driver ID checks after traffic safety complaints
Helicopter’s thermal imaging camera helps deputies find child in Florida swamp
Israel accused of deliberately starving Gaza civilians as war plans leave Netanyahu increasingly isolated
A pregnant Amish woman is killed in her rural Pennsylvania home, and police have no suspects