Latest news with #NationalFinancialLiteracyMonth
New York Post
30-04-2025
- Business
- New York Post
Here's the reason why most Americans feel behind on their savings goals
Two-thirds of Americans currently feel behind on their savings goals, according to a new survey. The survey of 2,000 Americans, split evenly by generation, revealed 67% feel this way, with 47% also admitting they don't believe they'll 'ever' reach their savings goals. Advertisement This is likely due in part to respondents needing to take money out of their savings accounts. Six in 10 (63%) of those with savings have withdrawn money since the beginning of the new year, with one in five (19%) taking money out five or more times. 4 Two-thirds of Americans currently feel behind on their savings goals, according to a new survey. Grustock – Commissioned by consumer banking app Current for National Financial Literacy Month and conducted by Talker Research, the survey revealed that, unfortunately for Americans, they aren't using this money for anything fun. Advertisement When asked what they're spending their savings on, unexpected expenses topped the list (48%). That was followed by everyday purchases they otherwise couldn't afford (36%), emergencies (30%), and money for rent or their mortgage (23%). Only 18% have actually taken money out to spend on something they were working to save for. 4 The survey of 2,000 Americans, split evenly by generation, revealed 67% feel this way, with 47% also admitting they don't believe they'll 'ever' reach their savings goals. LIGHTFIELD STUDIOS – Advertisement The survey found that the average respondent is putting $496 into savings per month. But that isn't feasible for everyone, and the results also revealed that three in 10 (31%) are putting $200 or less in their savings account each month. Being limited in what they can put into savings — and needing to take money out to cover unexpected expenses — means 25% of respondents have less money in their savings account now than they did at the start of 2025. Gen X was the most likely to have decreased their savings, at 31%, while millennials were the least likely, at 19%. Advertisement Millennials appear to be holding steady, with 39% saying their savings have stayed the same, while Gen Z were the most likely to have actually increased the money in their account (38%). 'Americans are demonstrating incredible resilience and commitment to saving, even in challenging times,' said Erin Bruehl, vice president of communications, Current. 'The fact that people are actively trying to build emergency funds shows their commitment to financial responsibility. 'Over 60% of people have needed to use their savings this year, highlighting exactly why Americans are smart to try and build this financial cushion. Their savings are successfully serving their intended purpose — helping navigate both unexpected costs and ensuring they can maintain their essential needs.' The survey also asked respondents about the role their bank plays in their savings habits. Seventy-one percent of Gen Zers said their bank has been helpful in reaching their goals, compared to 61% of millennials, 51% of Gen X, and 41% of baby boomers. 4 The survey found that the average respondent is putting $496 into savings per month. Art_Photo – Even then, 52% of Gen Z believe they could get 'more' from another bank, which is higher than any other generation. Advertisement This may be due in part to three in 10 Gen Zers believing the benefits offered through their bank are 'outdated,' compared to just 11% of baby boomers. And that may contribute to the 45% of Gen Z who would be willing to switch banks, compared to just 21% of baby boomers. 4 'Americans are demonstrating incredible resilience and commitment to saving, even in challenging times,' said Erin Bruehl, vice president of communications, Current. 'The fact that people are actively trying to build emergency funds shows their commitment to financial responsibility.' shurkin_son – 'Americans should select financial institutions that help them reach their goals,' Bruehl said. 'Online or mobile-only solutions often offer higher savings rates than traditional banks without monthly or minimum balance fees and provide additional benefits like early paycheck access and fee-free overdraft protection that provide additional cushion when bills are due. These benefits put more money in consumers' pockets and can help people achieve their goals faster.' Advertisement Survey methodology: Talker Research surveyed 2,000 Americans, split evenly by generation; the survey was commissioned by Current and administered and conducted online by Talker Research between March 28 and April 2, 2025.
Newsweek
27-04-2025
- Business
- Newsweek
Americans Share Best Financial Advice They Ever Received—It's Eye-Opening
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. Separating needs from wants and saving money as early as possible are among the top money tips that Americans have received, a new poll has shown. The poll conducted for Newsweek by Talker Research between April 11 and 17 asked 1,000 Americans to share the most-impactful financial advice they have ever been given. The responses reveal a common thread of caution, planning and prudence, with many pointing to the power of early savings and restraint. At the start of April, which marks National Financial Literacy Month, President Donald Trump shared a statement saying: "I urge families, communities, schools, and institutions to commit to bolstering their financial knowledge." The percentage of adults in the United States with poor financial literacy rose from 20 percent in 2017 to 25 percent in 2023, and the lack of financial literacy cost Americans an estimated $388 billion in the same year, according to a study by Moneyzine. In Trump's statement in April, the president noted that "research shows financial literacy leads to greater investments, higher retirement savings, and ultimately more household wealth." Below, we highlight some of the best financial advice Americans have received. An illustration featuring a man holding a stack of cash in one hand, a woman holding shopping bags and hands placing coins into a savings jar and piggy bank. An illustration featuring a man holding a stack of cash in one hand, a woman holding shopping bags and hands placing coins into a savings jar and piggy bank. Photo Illustration by Newsweek Start Saving Early One survey respondent noted: "My father-in-law got me to start saving money at an early age and told me never to touch it till I retire. Now I am the first in my family to be well off, with no debt to pay off." Other participants shared this sentiment with practical tips such as "save as little as a dollar a day" and "save every little bit you can, it all adds up," reinforcing the adage that "a penny saved is a penny earned." Doug Carey, a chartered financial analyst (CFA), is the founder and owner of WealthTrace, a retirement and financial planning software. He told Newsweek that the best piece of financial advice he ever received is to "start saving early to my 401(k) [retirement fund] and max it out if possible." "The difference between starting savings to a retirement plan at age 25 versus 35 is startling," Carey noted. For example, if you have a 25-year-old who saves $20,000 per year to her 401(k) plan, she retires at age 65. "If she achieves a 7 percent annual rate of return, she would have $4.3 million when she retires," Carey said. "Now let's say this person instead starts saving at age 35. Incredibly, by waiting 10 years her 401(k) balance drops all the way down to $2 million at retirement," Carey noted. He said: "This example just shows the power of compounding at work. The earlier people save, the more of that magical compound interest they get." … And Save Regularly Some respondents emphasized structured saving habits. One said they were told to "save at least $200 every time you get paid," while a different respondent advised, "spend only 25 percent of your income." So, what is the ideal amount we should be saving every month? "While there are general rules and percentages, average savings rates are unlikely to fit you as an individual," Jay Zigmont, a certified financial planner, told U.S. News & World Report in March 2023. "Each person's savings rate should reflect their finances and financial goals," he said. Stock image: A hand placing a coin into a piggy bank next to a pile of coins. Stock image: A hand placing a coin into a piggy bank next to a pile of coins. iStock / Getty Images Plus Stay Out of Debt Becoming debt-free was another common theme, with one respondent saying they were told to "pay off all debt as soon as possible." Carey, agreed, telling Newsweek that "another great piece of advice I have gotten is to stay out of debt, except for a mortgage." He said: "The more people are in debt, the less they can save. It is debt that delays savings for so many people and they do not get the power of compounding over time, which is the single best to way to ensure a large nest egg at retirement." Carey said that another way of looking at it is to "live at or below your means," adding "I have always lived by the adage—if you can't pay cash, you can't afford it." Know Your Needs Vs. Wants Understanding the difference between needs and wants was another common tip. One person cited the best advice they received was: "Separate your wants and your needs." Another said: "Before you spend any money, ask yourself 'do I really need this?'" When it comes to impulse spending, particularly on clothes, one participant said they were told to do a simple mental check, adding, "If you are debating buying a piece of clothing, just ask if you'd wear it for a day per dollar." So, a $20 item would translate to 20 days. Have More Than One Source of Income According to the U.S. Bureau of Labor Statistics, over 8.5 million people aged 20 and older were reported to have more than one job in January 2025. Diversifying income was also seen as a key to financial health. "Always have multiple incomes," said one poll participant. Another added: "If you have two incomes, live off one and bank and invest the other." … And Your Own Bank Account When Married Financial independence within relationships was another tip mentioned. One respondent shared: "When you are married, always have a checking account in your own name in case of tough times." True Tamplin, who is a certified educator in personal finance (CEPF) and the founder of Finance Strategists, notes that joint bank accounts in marriage "can act as a catalyst for transparent conversations around money." However, Tamplin also warns that "financial disagreements are one of the leading causes of marital strife" and "one partner's frivolous spending or the other's overly conservative approach might lead to conflicts" when couples have a shared account. Focus on What You Can Control For managing financial stress, one poll participant offered a broader perspective. The respondent said: "One of the best pieces of financial advice I've ever received is 'focus on what you can control—cut expenses, increase your emergency fund, and don't panic.'" The respondent continued: "During tough times, it's easy to feel overwhelmed, but this advice helped me stay grounded. It reminded me to track every dollar, prioritize needs over wants, and build a cushion for the future—even if it was just a little at a time. Small, consistent steps really do add up, and staying calm can make all the difference when things feel uncertain." Remember That Money Goes Quickly Another response highlighted a more-sobering realization, saying: "Not really advice but I did have an old boss tell me that no matter how much money you make it always finds somewhere to go." The respondent continued: "I really noticed that throughout the years, even though I'm making more money, it's almost like I don't have any extra because it just finds places to go." Stock image: A person looking at bar graphs on a financial document, with one hand on a calculator. Stock image: A person looking at bar graphs on a financial document, with one hand on a calculator. iStock / Getty Images Plus Do you have a personal finance question or dilemma to share? Let us know via life@ and your story could be featured on Newsweek.
Forbes
23-04-2025
- Business
- Forbes
Mind The Financial Literacy Gap: Coachella's Viral BNPL Moment Is An Industry Wake-Up Call
This year, Coachella wasn't just a showcase for the biggest names in music. It was a flashpoint in the growing tension between fintech innovation and financial literacy. When festivalgoers revealed they had used Buy Now, Pay Later (BNPL) services to cover the cost of tickets, social media lit up with finger-wagging commentary, viral headlines, and plenty of moral panic. Meanwhile, DoorDash quietly rolled out a similar installment option, signaling just how quickly BNPL has become embedded in everyday spending. But the real question isn't whether BNPL is being overused. It's why so many people feel the need to rely on installment plans for basic expenses in the first place. That's not a payments problem. It's a system problem, rooted in the fact that millions of Americans have never been taught how to navigate credit, debt, or financial decision-making with confidence. BNPL Isn't the Issue, Misunderstanding It Is The past two decades of payments and fintech innovation show how the right technologies can expand access, improve transparency, and offer greater financial flexibility—especially for consumers underserved by traditional credit models. BNPL, when done right, is one of those innovations. It's not inherently risky or irresponsible. It's simply a tool—one that, for many users, offers clearer terms and better short-term control than payday loans, for example. But like any financial product, it requires informed usage. Unfortunately, the average consumer is far from equipped. According to a 2023 TIAA Institute study, U.S. adults answered only 48% of financial literacy questions correctly, and only 18% could handle questions related to risk. That's a national failure. As we mark National Financial Capability Month—aka National Financial Literacy Month—this should worry regulators far more than whether someone financed a festival wristband. The Real Risk: Meeting Consumer Confusion with Judgment The backlash we're seeing against BNPL, and against the people using it, is rooted in a dangerous assumption: that financial tools should be foolproof. That if a product can be misused, it shouldn't exist. By that logic, we'd need to eliminate student loans, even mortgages. But we don't. We expect people to navigate them with minimal education and support. That's precisely the problem, and exactly why financial literacy needs to be treated as a foundational skill, not an afterthought. BNPL should be no exception. The reality is that when confusion is met with judgment instead of guidance, we widen the trust gap between financial institutions and the communities they serve. Regulation Alone Won't Solve This Let's be clear: smart regulation is always welcome in this industry. Transparency, responsible underwriting, and clear disclosures should be the baseline for every fintech offering—BNPL or otherwise. Providers have a duty to act in good faith, especially when serving younger or underserved consumers. But regulation isn't a substitute for education. Nor should it become a bludgeon that stifles innovation. The U.S. financial regulatory framework is already struggling to keep up with technology. What we need is a more collaborative model, one that brings regulators, fintech leaders, educators, and consumer advocates together to design solutions that work in the real world. The finance industry could start by treating financial literacy the same way we teach driver's education: essential, standardized, and required before taking the wheel. Empower people to ask better questions, and we'll get better answers. BNPL Can Be a Catalyst, Not a Cautionary Tale There's a healthier, more constructive path forward, and BNPL can be part of it. When installment solutions are built on existing cards, offer zero or low interest, and include transparent repayment structures, they become a bridge—not a trap. More importantly, they can become an entry point into deeper financial capability, if we build the right educational scaffolding around them. That's where regulators, fintech platforms, and educators must work in lockstep: not to eliminate risk, but to equip consumers to understand it. So instead of judging consumers for using BNPL to see Travis Scott or Lady Gaga, let's start asking why they didn't fully understand what they were signing up for, and how we can fix that. The future of financial health depends not just on the products we build, but on the knowledge we provide.
Yahoo
22-04-2025
- Business
- Yahoo
United Community Bank hosts financial literacy workshop in Panama City
PANAMA CITY, Fla. (WMBB) – The month of April is National Financial Literacy Month, and one Bay County bank is hosting a special workshop in honor of the occasion. The workshop will be held at United Community Bank on 23rd St. in Panama City and will focus on identifying common fraud and scams. The workshop will be split into two parts. The first hour is going to be a presentation from bank employees on recognizing fraud and scams, while the second hour is for attendees to ask questions and meet with employees one-on-one. Bank staff say the most common scams they see today are through emails and text messages. Earth Day Expo at E.O. Wilson Center promotes eco-friendly living But there is one surefire way to help prevent yourself from being scammed. 'Verify, verify, make sure that if you are getting an email, you know who it's from,' said United Community Bank Branch Manager Janet Galvao. 'Even if you know who it's from, confirm it in some other way that it's coming from them. If you're receiving a text message from your financial institution, call them and verify the number that you're being asked to call to verify the transactions is indeed the financial institution's phone number.' This financial literacy workshop will be held on Thursday, April 24th, from 5 to 7 p.m. You do not need to be a customer of United Community Bank to take part in this event. It is also free to attend, and no pre-registration is required. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
17-04-2025
- Business
- Yahoo
Cboe Commemorates 40 Years of Options Education with The Options Institute
CHICAGO, April 17, 2025 /PRNewswire/ -- Cboe Global Markets, Inc. (Cboe: CBOE), the world's leading derivatives and securities exchange network, this year celebrates the 40th anniversary of The Options Institute, the company's educational division. To mark this milestone, Cboe is launching a year-long commemoration – beginning during National Financial Literacy Month – to honor The Options Institute's decades-long impact on options education and financial literacy worldwide, while looking ahead to its continued evolution in the years to come. "Amid the evolving financial landscape and the growth in options investing, The Options Institute has remained steadfast in its goal of increasing investor knowledge through impactful education," said Alexandra Szakats, Vice President and Head of The Options Institute at Cboe Global Markets. "The Options Institute is proud to celebrate 40 years of guiding investors' understanding of derivatives products and markets, while also helping them develop the skills and mindset for confident, informed decision-making and investing. Our ongoing expansion into Europe, followed by Asia Pacific, demonstrates The Options Institute's continued commitment to being a trusted educational resource for market participants globally. The Cboe team and I are especially excited to kick off our celebrations during National Financial Literacy Month as a demonstration of The Options Institute's commitment to education for early investors. We see this as essential for helping to ensure the health and vibrancy of markets. The broader financial ecosystem benefits when future market participants – from retail traders to institutional partners – understand personal finance, managing risk and uncertainty, and the power of making informed choices." From Trading Pits to Mainstream Education Founded in 1985, The Options Institute provides best-in-class investor education through an array of resources that explain options and trading strategies for investors of all abilities. Initially launched to help professional traders on Cboe's Chicago trading floor become more equipped with options mechanics, The Options Institute led classes and mock trading sessions in Cboe's trading pits. Since then, The Options Institute has educated a wide range of students. Over the years, its programs have welcomed trading firms, advisors, regulators, and members of the press, as well as Fortune 500 CEOs, government officials and industry thought leaders. The Options Institute has continued to evolve throughout the decades, most recently broadening its offerings to cater to the growing retail trader community. This evolution has included leveraging technology to offer more on-demand and online courses, as well as new trading and data analytics tools. Today's courses range from foundational to advanced levels including "Options 101," "Decision Theory," and "Practitioner's Perspectives: Options Strategies." All are taught by expert instructors and industry practitioners through the team's Adjunct Faculty Program. Additionally, The Options Institute has expanded its collaboration with retail brokerages and other industry partners to refine and deliver more tailored investor learning experiences. Chris Larkin, Head of Trading & Investing at E*TRADE from Morgan Stanley, said: "With more investors participating in the market, financial education has never been more critical. Especially when retail investors start exploring complex trading strategies using options. Before diving in, it's key for retail investors to build a strong financial foundation and understand the ins and outs of their trade. We look forward to continuing to work with Cboe to amplify this mission and educate the next generation of traders." Michael Obucina, Head of Education at Robinhood, said: "At Robinhood, we're empowering the next generation of investors and traders by giving them the tools and education they need. Thanks to decades of work by Cboe and The Options Institute, as well as continued investment in educational content by platforms like Robinhood, retail investors and traders now have more information at their fingertips than ever before. We're proud to keep building on this foundation to help grow financial literacy worldwide." Marty Mickey, CFO and Senior Vice President of Finance at National Louis University, said: "The educational resources provided by The Options Institute have been a valuable addition for National Louis University—benefiting our staff, faculty, and students through their financial literacy classes. Developing courses that resonate with an audience of diverse interests can be challenging, but The Options Institute collaborated closely with us to design a syllabus that addressed meaningful topics. Their partnership has supported our mission to enhance economic and social mobility for all members of our community." Shaping the Future of Investor Education Globally The Options Institute's mission is now part of a global vision. As more investors worldwide utilize options and seek access to the U.S. markets and Cboe's proprietary index options, the need for meaningful financial education has increased to an international scale. To meet this demand, The Options Institute launched educational efforts in Europe, where it now offers on-line courses and regionally adapted multilingual content developed to meet European retail investors where they are. The Options Institute is planning to take a similar approach in the Asia Pacific region later this year. This initiative will align The Options Institute's efforts with Cboe's to partner with local retail brokerages and other participants in the region to provide investors the data, access and knowledge they need. In addition to English, Spanish, Hindi, Russian, and Dutch content, the team is planning to launch German and French programs in the second half of 2025. The Options Institute is also focused on educating the next generation to foster financial literacy and independence. This year, The Options Institute rolled out a financial literacy pilot program in partnership with schools and charitable organizations to help students of all ages and experience better understand the building blocks of finance. In this pilot program, students engaged in classes focused on financial topics such as saving, managing debt and investing. Staying true to Cboe's innovative spirit, The Options Institute's programming weaves in the key themes of effective decision-making and how to consider and manage risk. "What began as a handful of classes on the trading floor has grown into a global education platform helping current and future investors of all backgrounds navigate modern markets," Szakats added. "We are standing on the shoulders of incredible teammates and partners who came before us in The Options Institute, and we're excited to build on this legacy in the years ahead." To learn more about The Options Institute's educational resources and stay updated on upcoming programming, visit here. About Cboe Global MarketsCboe Global Markets (Cboe: CBOE), the world's leading derivatives and securities exchange network, delivers cutting-edge trading, clearing and investment solutions to people around the world. Cboe provides trading solutions and products in multiple asset classes, including equities, derivatives and FX, across North America, Europe and Asia Pacific. Above all, we are committed to building a trusted, inclusive global marketplace that enables people to pursue a sustainable financial future. To learn more about the Exchange for the World Stage, visit Media ContactsAnalyst Contact Angela Tu Tim Cave Kenneth Hill, CFA +1-917-985-1496 +44 (0) 7593-506-719+1-312-786-7559 atu@ tcave@ CBOE-OE Cboe® and Cboe Global Markets® are registered trademarks of Cboe Exchange, Inc. All other trademarks and service marks are the property of their respective owners. View original content to download multimedia: SOURCE Cboe Global Markets, Inc. Sign in to access your portfolio
