25 Shocking Statistics About Personal Finance in the US

25 Shocking Statistics About Personal Finance in the US

by Ron Haynes

I was recently able to take part in a personal financial seminar where the speaker informed us of some shocking statistics about personal finance in the United States. I’m not sure where he got all these numbers on the state of personal finance but they aren’t unreasonable and they point to the fact that we as a nation have a long way to go before any “recovery” can actually take place in our own finances. Certain businesses or industries may be seeing a little bit of a recovery, but for the most part, individuals are not taking part in it.

Personally, I was shocked that things were STILL this bad but several searches on the Internet confirmed that his statistics were relatively accurate. In some cases, the numbers were even worse than his.

Shocking Personal Finance Statistics

  • 30% have less than $1,000 in all bank accounts at any given time
  • 56% have a net worth less than $25,000
  • 95% of Baby Boomers don’t have enough for retirement
  • Over 50% of Americans didn’t save one red cent last year
  • Americans have over $950 BILLION in credit card debt
  • That averages out to over $8,500 per household
  • One third of all mortgage applications were rejected last year
  • Over 50% of those don’t realize that their credit score was the main reason
  • Students graduating from college average $24,000 in student loan debt
  • Student loan debt totals over one TRILLION dollars
  • 32 million people face possible bankruptcy this year
  • That’s more than the number of people that will graduate college … or get divorced
  • 40% of Americans will spend 110% of their income this year
  • 65% of Americans literally live paycheck to paycheck and have NO household budget
  • 20% of them make over $100,000 annually
  • 10,000 Baby Boomers turned 65 … today
  • That will happen each and every day for the next 19 years
  • Fully one third of Americans admit to having not saved anything at all for retirement
  • 60% of them have no idea how much they’ll need
  • 35% of Baby Boomers will depend on Social Security alone
  • How much will Social Security give you? About $26,000 per year before taxes …
  • The poverty line for a family of 4 is $22,050 (2012 numbers)
  • Two thirds will retire with less than $25,000
  • 35% will retire with less than $10,000
  • Just 2% of Americans have an adequate pension plan in place

What should you and I do?

Recognize yourself in any of those statistics? If you do, what can you do to reverse the trend?

First, we have to take responsibility. Realize that the reason we’re in the shape we’re in is because of choices we’ve made in the past. Only when we take responsibility for our actions can we begin to recognize destructive behaviors, stop them, and begin again in a new direction

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