06/24/2018
43 percent of Americans struggle to pay their bills, and 34 percent are suffering “material hardships,” including “running out of food, not being able to afford a place to live, or lacking the money to seek medical treatment.” Source (https://www.debt.com/americas-voice-on-debt/40-percent-americans-cant-pay-bills/).
The question is; why is this so? The answer is “lack of financial education”!!! Knowing how money works!
The study went a lot deeper than just “43 percent are struggling to pay bills.” Digging into the demographics, it’s obvious some groups do better than others — expectedly, older adults are better off. On a scale of 1-100, the average score for seniors was 61, while the overall average was 54. Adults under 35 had an average score of 51. Source (https://www.debt.com/americas-voice-on-debt/40-percent-americans-cant-pay-bills/).
The question is; why is this so? The answer is “lack of financial education”!!! Knowing how money works! Notice that older people seem to pay their bills More than young people. If you understand the wealth curve you will know the root cause. Knowing the root cause will enable you to eliminate this root cause and enable you pay your bills!! Therefore financial education is key!
What did we learn?
The study found income alone is not a good measure of financial well-being. “For example, at all household income levels financial well-being scores vary widely, and someone with lower income can have higher financial well-being than someone with higher income,” the study says. “The same financial well-being score can reflect a diversity of circumstances, conditions, or perceptions.”
Instead, personal savings is a huge factor — people with less than $250 tucked away have an average score of 41. Those with $75,000 or more in liquid savings average 68. (https://www.debt.com/americas-voice-on-debt/40-percent-americans-cant-pay-bills/).
The question is; why is it that some people with higher income have lower financial well-being compare to some people with lower income? The answer again is “lack of financial education”!!! Knowing how money works! Since personal savings is a huge factor of financial wellbeing, you need to understand the how to start and sustain personal saving culture!!!
If you need help, you can take advantage of our free Financial education training if you are in the Houston area. Simply send email to “[email protected]”, The subject of your email should be “Financial Education Help”
If Donald Trump wants an easy win, promote financial literacy. It really does make a difference, according to the Consumer Financial Protection Bureau.
