Even with Americans looking to improve upon their budgeting and other aspects of a personal finance plan, there is a notable level of concern from many. This could be due to a number of issues related to not successfully executing a financial strategy.
Approximately three-quarters of Americans noted that they are in a worse financial situation now than in 2013, according to a report conducted by Harris Poll for the American Institute of CPAs. Despite this, just 44 percent explained that their overall financial stress level was notably high. In 2013, the figure was at the same point.
“With slightly more than half of U.S. adults expressing little to no stress about their increasingly difficult financial circumstances, it seems that many Americans are reconciled to an uphill financial battle and that financial juggling and sacrifice will be a part of the foreseeable future,” said Ernie Almonte, chair of the National CPA Financial Literacy Commission at the AICPA. “The good news, however, is that you can improve your situation through simple steps – many of which Americans are already being forced to do. Creating a monthly budget, sticking to it and putting $50 a month into savings are small actions that can make a big difference over time.”
Approximately 12 percent of Americans explained that their main financial worry was properly navigating their daily budgeting, the report noted. Another 10 percent said that for them, medical expenses were the most important issues. Both student loans and retirement savings were the most vital financial tasks for 9 percent of the population.
Many Americans look to improve savings
While there may be a number of issues that Americans are dealing with, some are trying to strengthen their financial standing. According to a report from the Consumer Federation of America, American Savings Education Council and the Certified Financial Planner Board of Standards, Inc., approximately 40 percent of Americans have implemented a savings strategy that allows them to hang on to a sizable sum.
“We know it’s important to set money aside regularly, for a rainy day and a sunny future, but it obviously isn’t always easy to do,” said Eleanor Blayney, consumer advocate at CFP Board. “We need to reverse the ‘easy to be bad’ and ‘hard to be good’ dynamics that determine our spending and saving behavior.”
Approximately 51 percent of those polled explained they have a savings plan that has notable goals in mind, the report added. Nearly 70 percent of Americans avoid overspending and save the rest of the money they earned.