
57% of Americans Have Less Than $1,000 in Savings (2017) - helloworld
https://www.gobankingrates.com/press-releases/americans-less-1000-savings/
======
TACIXAT
46% of people hold no investments. [0] 57% of Americans don't have enough
savings to cover a 500 dollar expense. [1] Nearly half have no retirement
savings, which pushes the median retirement savings in the US to 5,000 dollars
[2]. Additionally, for families with retirement savings, the median amount of
60,000 dollars. [2]

It's not how they asked the question, it's not about savings account rates
being low. Most people don't save. Most people are not prepared for
retirement.

0\. [http://money.cnn.com/2017/10/20/investing/trump-stock-
market...](http://money.cnn.com/2017/10/20/investing/trump-stock-market-
americans/index.html)

1\. [https://www.cbsnews.com/news/most-americans-cant-
afford-a-50...](https://www.cbsnews.com/news/most-americans-cant-
afford-a-500-emergency-expense/)

2\. [https://www.cnbc.com/2017/06/13/heres-how-many-americans-
hav...](https://www.cnbc.com/2017/06/13/heres-how-many-americans-have-nothing-
at-all-saved-for-retirement.html)

~~~
evanlivingston
I can't help but feel like you're making a value judgement against certain
individuals. That combined with looking over your comment history makes me
feel like you're unsympathetic to individuals in situations that are less than
ideal.

Some people have cancer and don't have health care. Some people have kids.
Some people live in the Midwest have absolutely must have a car to get to work
and have higher than average heating and cooling bills. Some people got
arrested for having marijuana and now they have a hard time getting a job.
Some people are supporting a parent who isn't self-sufficient. Some people are
supporting a spouse who has substance abuse issues. Life happens to people.

Other countries have found a way for providing a high standard of living
without a need to put the onus for saving onto the individual. I'm not saying
this here to say it's the responsibility of the state to provide a comfortable
retirement for individuals. But knowing that we could, in not some too
unimaginable world provide a comfortable retirement and safety net for each
individual, what are our reasons for not doing so? What is it in you that
feels like the burden of life must be foisted upon individuals with lesser
means or an inability to provide for themselves rather than a distributing
that responsibility upon everyone?

~~~
TACIXAT
You have drawn a lot of incorrect conclusions about my personal opinions. If
you have the time to point out any value judgements I have made, or previous
comments that were in poor taste, please do.

My OP comment was stating facts and refuting people who were questioning the
validity of the survey. I'm not sure where you would draw any conclusions
about my personal opinions from it.

>What is it in you that feels like the burden of life must be foisted upon
individuals with lesser means or an inability to provide for themselves rather
than a distributing that responsibility upon everyone?

Nothing in me feels that way. Thanks.

------
skybrian
I don't think this survey says what they think it says.

"Methodology: This GOBankingRates.com survey posed the question, “How much
money do you have saved in your savings account?” to 8,131 people among all 50
states and Washington, D.C. Responses were collected through a Google Consumer
Survey conducted from Aug. 15, 2017, to Aug. 17, 2017, and responses are
representative of the U.S. online population." [1]

This shows that a lot of people don't have saving _accounts_. Not that they
don't have any savings. For example, they could keep their savings in a
checking or money market account. Or as cash.

[1] [https://www.gobankingrates.com/saving-money/americans-
saving...](https://www.gobankingrates.com/saving-money/americans-savings-
state/)

~~~
candiodari
"Savings account" however is commonly interpreted as including things like a
stock market account, and therefore include most investments.

It would not include housing equity and pension savings, but it would include
more than just an actual savings account.

~~~
WalterBright
A stock market account would be a brokerage account, and that is very
different (practically and legally) from a savings account. For one, a savings
account is insured by the FDIC, a brokerage account is not.

~~~
SilasX
Well, for purposes of this question, it would make sense to include the _cash_
in brokerage accounts (along with checking accounts), since that’s very liquid
and accessible, and is insured through SIPC:

[https://www.sipc.org/for-investors/what-sipc-
protects](https://www.sipc.org/for-investors/what-sipc-protects)

~~~
WalterBright
Varying interpretations of the question cast hopeless doubt on their data &
conclusions.

------
kenferry
This is very misleading. The question is phrased “How much money do you have
saved in your savings account?”

I only have checking and investment accounts.

~~~
5555624
My credit union requires a savings account and I'm sure a lot of people only
have the required $5 in it.

------
Cacti
> However, the percentage of people with $0 in savings has climbed to 39
> percent from 34 percent in 2016.

When savings accounts are yielding 0.02%, what's the point? Might as well keep
it in checking or an actual investment.

~~~
TACIXAT
The people without savings aren't holding all their money in stocks. 46% of
people hold no investments. [0] I'm betting there is a large intersection
between that 46% and the 39% with no savings.

0\. [http://money.cnn.com/2017/10/20/investing/trump-stock-
market...](http://money.cnn.com/2017/10/20/investing/trump-stock-market-
americans/index.html)

~~~
SilasX
The parent listed checking accounts, not just stocks, as the alternative, and
the former are widely used.

------
post_break
I wonder how many americans can't afford their cell phone if they had to buy
it all up front.

~~~
snaky
Maybe they'd find other smartphone than iPhoneX for their budget. E.g. BLUBOO
Maya (5.5" 1280x720 Curved Glass IPS, MT6580, 2GB RAM, 16GB Flash plus MicroSD
slot, 13MP plus 8MP Sony IMX219, 3000mAh battery, GSM plus WCDMA, Android 6.0,
$63)

~~~
flukus
2 Full versions of android behind, 18 months old and unlikely to get necessary
security updates. Not enough memory or internal storage to run many apps
thanks to the "developers are expensive, hardware is cheap" mentality we see
so much of around here.

~~~
snaky
Lenovo Moto M (5.5" FullHD with 10-point multitouch, 8-core Helio P15 plus
Mali T860MP2, 4GB RAM, 32GB Flash plus MicroSD slot, 8MP plus 16MP, 4G, OTG,
Android 7.0, 3000mAh battery, fingerprint scanner, $139)

~~~
flukus
Much better, still 18 months old though, how long will it get software
updates?

~~~
snaky
Okay, iPhoneX, $1000.

------
test6554
This article highlights what not to do, but how much is a sensible amount to
have in savings, not including a tax-sheltered retirement account? $10K, $30K,
$50K, $100K?

I've heard in the past that you should have 6 months to a year worth of living
expenses stored up that you can access quickly, but you also have to factor in
your age, current economic conditions, and your tolerance for risk. Any
thoughts on this?

~~~
toomuchtodo
6 months minimum, more depending on how risk adverse you are. I keep a year of
expenses in high yield savings after living through the 2008 global financial
crisis (money market fund with my emergency fund broke $1 NAV, withdrawals
temporarily halted at the same time I was laid off when my employer folded).
Use a savings account. The funds must be liquid.

~~~
white-flame
Just curious, what sort of APY does "high yield savings" get you nowadays?

~~~
waterphone
1.3% to 1.7% in most cases, but it's been climbing over the past 6 months.

Not a lot, but better than the laughable 0.05% some megabanks offer.

------
sean_anandale
"<1K in savings" often applies to people with substantial and ongoing access
to funds explicitly supporting what would otherwise be out of pocket expenses,
like rent, food for one's children, utilities, cell phone service, education,
etc.

------
needcaffeine
Well, last time this was posted, 69% had less than $1000:
[https://news.ycombinator.com/item?id=12548610](https://news.ycombinator.com/item?id=12548610)

So I guess things are getting better?

------
shmerl
It would be good to break it by the city as well. I'd expect cities with
higher rent to naturally have higher percentage of people without savings.

------
danjoc
Savings accounts are not a popular way to save.

~~~
matte_black
Do they really only mean bank savings accounts?

I have exactly $0 in savings but tons of money in mutual funds and stocks and
bonds.

~~~
gruez
>survey posed the question, “How much money do you have saved in your savings
account?”

~~~
matte_black
Well, then clearly it was either designed with an agenda in mind or the person
who wrote it doesn’t really understand how people save.

~~~
5555624
I think a lot of people may save that way. My mother's side of the family is
generations of family farms. A savings account, checking account, and the
value of the farm -- no stocks, bonds, etc. I know a lot of blue collar
workers who a in similar positions (minus the value of a farm).

As has been pointed out, in the past here on HN, maybe high schools should
teach a class on personal finance. Maybe a lot of these people never think of
anything outside of checking and savings accounts and think other sorts of
investments ar eonly for the rich.

