Facts: From the Consumer Financial Survey

Posted: June 3, 2016 at 7:27 pm by Skip Kelley

Have you ever wondered how other people are doing financially; if they have the same questions, concerns and hurdles to overcome that you do; or if they are doing better or worse than you are? If you have, you are like most other people. We humans have a built in comparison mechanism that is at work most of the time. The fact is, we are almost always comparing what we do with what other people are doing.

Well, since I am human like you, I tend to make comparisons too. So I was curious to see the results of this year’s National Foundation for Credit Counseling (NFCC) survey regarding consumers’ level of knowledge associated with personal finance.
Let’s take a look below, you may be surprised.

Budget & Savings

71% of Americans say they have financial worries – that is a whole lot of worrying. 51% say they have spent the same amount as last year; and a whopping 23% have saved more money than they did last year – which is great!

Credit Cards

More than one-third of people carry over credit card debt month-to-month, which I’m sure the credit card companies don’t mind. I can hear the credit card company’s CEO now, “Bring on the interest charges!”

Student Loans

About 4 out of 10 adults (roughly 41%) do not feel confident that they are able to repay a $30,000 loan for education. And 6 out of 10 adults don’t feel they understand the process for applying for a student loan! The rising debt for students is a big deal. And, if you want to be in the medical profession the amount of debt you will accumulate through school and residency is off the charts.

Retirement

1 in 4 adults do not save any portion of their household annual income for retirement. That’s 25% of households in America with no retirement savings. Not surprisingly, the largest reported worry about retirement is outliving one’s money, or in other words, running out of gas before your journey is over.

Advice

3 in 4 adults agree that they could benefit from advice, education and answers to everyday financial questions from a professional. Of course I’m biased here as I believe that everyone could benefit from sound and unbiased professional guidance.

So, where do you stand?

If any of the above statistics ring a bell for you why not get it out on the table and find a solution? Your job is to be willing to talk about it; my job is to give you the options that will put your finances in order and, in doing so, give you greater confidence and peace of mind.

Think of it this way. You have two choices – go it alone and just live with it; or reach out to someone you trust for advice and guidance. Many people who go at it alone and live with it do so because they just can’t find a person they trust. To me, that’s really sad, because those folks run the high risk of seeing their financial future slip away due to the poor management of their monies.

I understand that trust is a huge issue when working with an advisor. But, there are really good and trustworthy advisors out there who will not try to sell you something and who will act in your best interests. These folks are fiduciaries, who take a holistic planning approach and use both market-based and insurance-based products without favoring one or the other. I certainly believe I fit into this category, but there are others.

Here’s the bottom line. I believe you can do better with your finances if you are willing to look and take the time to seek out this very special type of advisor. And, if I’m fortunate enough to be that person in your eyes, note that I’m just a phone call away and I’d be honored to discuss any aspect of your finances with you.

You are using an outdated and unsupported browser. Please upgrade to continue.

This version of Microsoft Internet Explorer is over eight years old, does not receive security updates, and is not able to render modern websites. We strongly suggest updating your version of Internet Explorer or using a modern web browser such as Microsoft Edge, Google Chrome, or Mozilla Firefox