We are really good at spending money and really bad at saving money. Automation, one-click shopping and the constant bombardment of consumerism makes it more challenging each day to save. Collectively, as a whole, together, one nation under God, we are the best spenders… in the world.
Each and every day, it is estimated we are exposed to 5,000 brands or advertisements. That is about 4.500 more then if you lived in the 1970s. The daily luxuries of the digital age are nice, but they come with a price tag:
Go find 10 people, line them up, and chances are 7 of the 10 do not have $1,000 in savings (According to a recent Go Banking Rates survey, 69% of working-class adults do not have $1,000 in a savings account).
In the 1960s and 1970s, American saving rates were consistently above the 10% mark, staying that way until the mid 80's when Americans started saving less and less.
With stock prices soaring, more small business owner confidence, and a generally good feeling in the American economy, the overall feeling can be attributed to falling personal saving rates.
According to CNBC Money, here is how much you should have saved by age: In your 20's: Aim to save 25% of your gross pay. By age 30: Have one year of your salary saved.