Americans may not be saving enough, but they want to be
By Lauren McNitt
It’s Financial Literacy Month, and reports released to mark the month portray a dismal outlook for Americans and their retirement prospects.
For example, women make up the least financially savvy group of Americans, right below young adults and the elderly, according to one report. Another found 56 percent of adults admit they don’t have a budget.
Today, though, Northwestern Mutual Foundation released a survey that found while Americans may not be saving, at least they want to be. The foundation’s financial literacy site, Themint.org, found 79 percent of people say they would rather have $500 to spend in five years than $50 to spend today.
In addition, those surveyed were very positive about the return for their savings, with two-thirds indicating they believe if they save $500 today, their money would double in 25 years. Thirty-one percent thought it would increase to be just a “little bit extra.”
Do you think these predictions for a return on savings are correct? What type of investment or product, if any, could double their money in 25 years?