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Guess Which Age Group Is Starting To Save?

Young woman with broken down car

Will you have enough saved if this emergency happens?

You may have seen this article last week in the Wall Street Journal that detailed the current status of Americans and their emergency savings. I probably don’t have to describe to you the article’s tone. Your intuition tells you it was filled with negative statistics.

The study from Bankrate.com showed that:

26% of Americans have no emergency savings…

66% of Americans don’t have the recommended six months of expenses saved…

Those with enough saved to cover expenses for three months shrank to 40% in 2014, compared to 45% in 2013 and…

Only 46% of those earning $75,000 or above have six months of expenses saved.

That last one is especially disturbing. $75,000 is a fine yearly income. That equates to 300k earned in 4 years time, assuming no raises or bonuses. Throw a tax refund or two in there and you are telling me 54% of the people in this situation can’t save six months of expenses in four years? That’s fascinating.

Of particular note, guess who the most likely savers are turning out to be according to the study?

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