63% of Americans don't have $500 in savings for an emergency

Despite financial advisers’ oft-repeated advice that we should have in savings an amount that’s the equivalent of at least 3 months’ income/salary, Americans simply refuse to save.
I’ve posted on this again and again on FOTM. See:

Here I am, once again sounding the alarm like Cassandra, with the latest shocking statistics on the financially dangerous and irresponsible way most Americans choose to live.
precipiceMaggie McGrath reports for Forbes, Jan, 6, 2016:

  1. A new Bankrate.com survey found that 63% of Americans do not have enough savings to pay for a $500 emergency, such as a car repair, veterinary or medical bill. Only 37% of Americans have at least $500 in savings! For the other 63%, to pay for a $500 emergency they would have to resort to measures like cutting back spending in other areas (23%), charging to a credit card (15%), or borrowing funds from friends and family (15%) in order to meet the cost of the unexpected event. Bankrate senior investing analyst Sheyna Steiner asks: “I did wonder what would happen if it was $10,000, what would the answer have been then?”
  2. Magnify Money released the results of a study that found that 56.3% of people have less than $1,000 in their checking and savings accounts combined.

  3. Pew Charitable Trusts reported that 1 in 3 or 33% of American families have no savings at all.

H/t FOTM‘s josephbc69
See also:

~Eowyn

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WildVke
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I can imagine most can’t afford having dental insurance! Hell we’re paying $862 mo. just for our medical coverage for 2 ppl ! No dental ! That’s just our Premium! Our deductible is $12,000 a yr ! That’s right! $12,000 out of pocket before insurance even picks up anything! Thanks to the “Affordable Health Care” What a bunch of bull hockey! Affordable my ass! It’s jumped from $711 a mo. just 2 yrs ago! How can the average working person afford anything, let alone saving anything for a rainy day, car repair, medical emergency Anything! My daughter, who is a… Read more »

WildVke
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Correction > *raising our children

SimplyFred
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SimplyFred

We could make immigrants (legal and non legal) ineligible for Social Security benefits and welfare. Immigrants should have to work in this country and pay taxes for three generations to become eligible for any government welfare programs. That would make them work harder.

Glenn47
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Glenn47

I agree, when we, the tax payer have to work 40 quarters or 10 years before we can even think of drawing SS when of age.
But they can come in and their elders can draw our money.
The government has okayed them to make up a SS number, imagine that mess when the real owner comes forward.
Then SS has been attacked when in 2012, BO took people out of unemployment and put them under SSDI to make their unemployment numbers look better.
We have been lied to and abused for 71/2 years now.

Anonymous
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Anonymous

Thanks, Democrats!! (That’s some “recovery” you guys gave us there… )

Joanne Rosemarie
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Joanne Rosemarie

Same story here in Britain where our culture mirrors yours to a great extent. It is almost impossible to get a decent job where you’re not on the minimum wage. I was in that position and trying to retrain to better myself, and there’s no guarantee in that either. I have always tried my best to do the right thing but sometimes you cannot win, as in my previous job the manager wouldn’t let me take owed holiday which I needed to take to go on a residential university course. I was at my wits end and couldn’t see a… Read more »

MomOfIV
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MomOfIV

scary…and considering this country wants to get rid of cash…all “money” you have they will know about…so you won’t even be able to save money under your mattress. If the govt or bank locks your account, you will have nothing…they will control it all.

truckjunkie
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truckjunkie

” 56.3% of people have less than $1,000 in their checking and savings accounts combined.”
I have to wonder what percentage of America is living on less money than their basic needs cost every month. THAT figure makes “Savings” kinda irrelevant to me. (BTW-I have a truck for sale…)

MomOfIV
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MomOfIV

yep, one of the reasons credit card debt is so high today

truckjunkie
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truckjunkie

In MY World,it’s the cost of living that causes debt. When you have 12 bills that NEED to get paid,and can only AFFORD 10,which ones do you cut? (Already tried to get them to take smaller payments-NO deals without late fees and interest. Somehow,they ALL think THEY are the only expenses I have. Make partial payments? If you can arrange that,you’re even MORE behind the next month,and there’ll be the late fee and interest again. My “cut list” is gas for the truck (My friends and family have become accustomed to giving me a few dollars for gas if they… Read more »

MomOfIV
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MomOfIV

“In MY World,it’s the cost of living that causes debt.” according to our esteemed govt we basically have no inflation, even though items we purchase today cost way more than they did a generation ago or even a few years ago. I know when I buy groceries for my family the money doesn’t go as far as it once did and not only that, you get less in quantity and quality (chemicals wrapped in plastic and GMOs passed off as “food”). Home ownership is at an all time low because few can afford the costs, while the chinese are buying… Read more »

evh
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evh

The government doesn’t want the average person to save. Saving is discouraged by low interest rates etc. They want you to spend. The government has the idea one can spend their way out of a recession etc. Savings make a person independent of the government to a certain extent. When people have savings the government becomes nervous and must start figuring out ways to get your savings away from you. They call it redistribution of wealth. Today, slavery is for everybody.

squirrelmistresssquirrelmistress
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i’ve never been able to have savings. i’ve had to have 2 jobs at times between raising 4 kids. almost everyone i know is 2 paychecks away form homelessness. this has all been planned by the elites to get rid of the middle class.