April is Money Month: How Much Savings do You Have?

Nearly half of American consumers live without a financial safety net.

Some dismal findings concerning consumer savings were recently released by RetailMeNot, the largest digital coupon destination in the United States. A staggering 48 percent of the over 1,000 people surveyed said they did not have enough savings to last them more than a month if they were to lose all sources of income.

On the flipside of that bad news 52 percent said they gathered enough savings to last them over eight months. However, the good news ends there as the survey also revealed:

  • One in four respondents with a savings account does not know how much is in it.
  • More males than females (30 percent vs. 20 percent) are unaware of how much is currently in their savings account.
  • Seventy-eight percent worry that they will not be able to retire at the time and in the style they hoped for.

The survey also shed light on another problem – educating young people on finances. An overwhelming 92 percent of those surveyed said it should be the parents’ responsibility to educate the future generations about money. Still, only 47 percent of parents indicate they are confident in their own understanding of the topic.

Gary Herman, President of Consolidated Credit, says the stats don’t lie…

“Many Americans put off educating themselves and their children on financial issues. Another recent survey showed that adults think finances are too confusing, or they don’t have the time or knowledge to get started. The fact is many things are confusing and take time, but to ignore your finances is dangerous.”

Herman suggests starting the financial education process with your children slowly. His tips include:

  • Talking openly to your kids about money so they understand its importance
  • Clipping coupons with your children and taking them shopping so they associate the coupon’s savings with the item bought
  • Opening a savings account and letting your children earn their own money through chores and other jobs
  • Making a pact with your kids to save money by turning off the TV when it’s not in use, packing your own lunches and finding great deals on purchases you need – not want

If you need help with every day money management issues, creating a budget, or just want to speak with an expert about money, don’t hesitate to contact one of Consolidated Credit’s certified credit counselors or get started online with a request for a Free Debt Analysis.