Although there have been some positive signs that the economy is getting ready to rebound, many Americans are still struggling to make ends meet, which appears to have them saving more and spending less.
According to statistics released last week by the U.S. Department of Commerce’s Bureau of Economic Analysis the amount of money saved increased in May to 6.9 percent – which is up from 5.6 percent in April.
Overall, personal saving amounted to $768.8 billion in May, a $160.3 million increase over April’s personal-saving amount.
In addition to saving money, the statistics showed that Americans are making more with personal income increasing $167.1 billion in May, a 1.4 percent rise over the previous month’s figures.
"The pattern of changes in personal income and in [disposable personal income] reflect, in part, the pattern of increased government social benefit payments associated with the American Recovery and Reinvestment Act of 2009," the Department of Commerce said.
With a report released recently from the Bureau of Labor Statistics indicating the unemployment rate is 9.5 percent, more people may consider saving money to safeguard against the possibility of becoming unemployed.