How long would your savings last if you lost your job? If you’re like many Americans, not long enough. I’m Kristin Arnold with your Bankrate.com Personal Finance Minute.
Bankrate.com polled Americans on how much they have in emergency savings and here to share the results is Greg McBride, senior financial analyst at Bankrate.com.
Kristin, the news is not particularly good. 28% of Americans have no emergency savings – none at all – and nearly half, 49%, don’t have enough to cover 3 months’ expenses. Just 1-in-4 households have saved enough to cover 6 months’ worth of expenses.
And how do these results compare to years past?
There was a slight decline from last year, but we have seen some improvement compared to 2006, when just 39% had at least 3 months’ savings tucked away. Today that is 42%.
Thank you, Greg. And for tips on how to beef up your savings, visit our website at Bankrate.com. I’m Kristin Arnold.