While you might think that saving for college, retirement, or buying home are the reasons Americans save, according to a recent survey, travel was reported as the top priority. In a study of 2,500 adult Americans representing varied demographic, geographic, economic, and social groups, 45 percent of respondents set aside money for traveling. This was especially true among younger respondents, who prefer travel experiences over savings to buy a home.
After travel, the main priorities for saving by Americans are:
- for an emergency fund (37 percent)
- for retirement (30 percent)
- to buy a house (21 percent)
- to buy a car, truck or motorcycle (20 percent)
For additional information on saving priorities, check out these two resources:
- Have students conduct a survey among people they know to determine the main reasons for saving.
- Have students talk to others to obtain ideas for building a person’s savings account.
- What do you believe are reasons people prefer saving for travel over other financial goals?
- Describe other actions that might be taken to motivate people to build their savings?
“Do you feel as if you’ll be in debt forever? You’re not alone.”
According to a CreditCards.com survey, 13 percent of Americans say they’ll never pay off all their loans, and another 8 percent say they won’t pay off what they owe until they’re 71 years old. While the results of the survey are discouraging, this Kiplinger article describes the following 10 reasons people can’t get out of debt and also provides suggestions for getting out of debt.
- You don’t know how much you owe.
- You pay only the minimum.
- Your mortgage is too big.
- You took out too many student loans.
- You can’t say no to your kids.
- You don’t have money for emergencies.
- You feel a sense of entitlement.
- Your car loan is too long.
- You rack up late fees.
- Your interest rates are too high.
For more information, click here.
You may want to use the information in this blog post and the original article to
- Explain how people get in trouble when they make financial decisions without considering the consequences.
- Go into more detail about how each of the 10 reasons described in this article affect an individual’s financial future.
- How do you plan to balance your objective of creating an enjoyable and entertaining life with the objective of building a secure financial future?
- Based on the 10 reasons in this article, what steps can you take to improve your financial planning for the future.