Tuesday, June 24, 2014

One in Four: No Emergency Savings

People are not doing well in the Obama economy.

From the Wall Street Journal:

Twenty-six percent of Americans have no emergency savings, according to a report by Bankrate.com. Over the past four years, there has been little to no progress when it comes to Americans’ saving capacity.

Even those who manage to save aren’t putting away enough. As many as two-thirds of people in the U.S. don’t have the recommended six months of expenses saved. The percentage of people with savings enough to cover at least three months shrank to 40% in 2014, compared with 45%, a year earlier.

Despite Americans being more secure in their jobs and more comfortable with their debt since the recession ended, their savings capacity remains weak even among those with highest-income household. Only 46% of those with annual income of $75,000 or above have enough savings to cover six months of expenses.

“People are not making progress. Incomes are stagnating and expenses are high,” said Greg McBride, Bankrate.com’s chief financial analyst. He said that many people are still struggling with payments from the past years and high household costs.
Do you know who would be able to relate to this?

Hillary Clinton and Bill.

Emergency savings?

They were worse off than having little or no savings.

They were millions and millions of dollars in debt, and they had to pay lots of taxes, and buy houses, and pay for Chelsea's college education.

Multi-million dollar book deals and hundreds of thousands of dollars for speeches can't solve everything.

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