More Americans Are Dipping Into Their Savings To Get By
More Americans are feeling anxious about making ends meet compared to a year ago. In fact, many say they are dipping into their savings to cover their expenses. In order to find out the nation’s overall mood when it comes to the cost of living, Compare The Market conducted a survey.
Cost Of Living: Survey Finds What Concerns Americans The Most
This company surveyed 1,000 people to determine the true impact of the cost of living on Americans. Unfortunately, but not surprisingly, close to 80% of us feel the cost of living has increased over the past twelve months. Over 20% of those surveyed admitted they are dipping into their savings to cover bills. In addition, nearly 40% say they can’t save as much money as they used to.
Which household costs are Americans most concerned about? First, it’s groceries. Almost half (46%) are feeling the biggest pinch at the supermarket checkout counter. Second, it’s the power bill. Four in ten said this was their biggest cost of living concern. Third, gas prices, with 39% losing sleep at night while worrying about filling the tank. Car insurance (28%) and healthcare costs (23%) rounded out the top five.
Survey Also Asked About Debt, Investments, And Budgeting
Not surprisingly, many Americans admit that most of their debt is tied up in credit card bills. Over half of those responding say they use their credit cards to cover rising household costs. Meanwhile, other sources of debt in American households include car loans (27%), personal loans (16%), and buy now pay later accounts (13%).
As has been noted, the survey found that American households are finding it tougher to put money away for a rainy day. However, one in three respondents say they mainly invest in managed funds when possible.
How about budgeting? Despite the fact that most of us are finding it harder to make ends meet, most households do not stick to a budget. Almost one in three surveyed (30%) say they don’t even have a household budget. Furthermore, 46% of those surveyed said they set a budget, but they don’t stick to it.
Where do Americans turn for financial advice? About one-third go to social media for financial advice. Yikes! Good luck with that financial plan. Another third or so talk with family members and close friends for money strategies. Additionally, 15% turn to podcasts.
With this in mind, it begs the question: As a nation, are we doing enough to educate our citizens about money, budgeting, and finances?