CINCINNATI, April 22, 2016 /PRNewswire/ -- The path to
achieving financial milestones like paying for a college education,
buying a car, owning a home and retiring at an early age always
begins with one step: saving for the future.
A recent study by Fifth Third Bank (NASDAQ: FITB)
found many Americans haven't set aside the savings to support
their financial goals. In fact, 47 percent of respondents
frequently live paycheck to paycheck. The results revealed
interesting insight into our nation's approach to saving for the
future.
Most are unprepared for the unexpected.
When an
unpredicted expense pops up, survey results show Americans aren't
prepared with a backup plan.
- More than half1 of those surveyed know an emergency
fund should hold six months of living. expenses, yet
two-thirds2 of Americans don't have that amount in
savings.
- 30 percent don't have an emergency fund at all.
Americans know how to plan for retirement, but aren't taking
that knowledge to the bank.
- 46 percent of Americans agree retirement savings should begin
in a person's 20s, but more than half3 don't contribute
to a 401K, IRA or other retirement plan.
- 84 percent of those surveyed know their retirement savings
should reflect their age, expenses, standard of living and health
status, yet only half4 know the exact amount of their
current retirement fund.
- 60 percent of baby boomers, those currently reaching retirement
age, consider themselves "financially savvy," but
two-thirds5 of this generation are carrying the burden
of credit card debt into retirement.
"Setting aside six months of income for an emergency fund and
planning for years of retirement can seem like an impossible task,"
notes Jada Grandy, senior vice
president and Community Reinvestment Act strategies director at
Fifth Third. "I advise anyone starting to save to begin with small
goals, like putting away $10 each
week. As that reserve grows, focus on building an emergency fund
with three to six months of living expenses. Saving a little away
today can mean a lot is available tomorrow."
Focused on their commitment to provide actionable, practical
advice to those seeking financial independence, Fifth Third created
its Top Ten Steps to Financial Empowerment, available at
www.53.com/life. The Bank is dedicated to financial empowerment and
offers its free L.I.F.E. (Lives Improved through Financial
Empowerment®) programs to consumers through many ages
and stages of life.
About Fifth Third Bank
Fifth Third Bancorp is a
diversified financial services company headquartered in
Cincinnati, Ohio. The Company has
$141 billion in assets and operates
1,254 full-service Banking Centers, including 95 Bank Mart®
locations, most open seven days a week, inside select grocery
stores and 2,593 ATMs in Ohio,
Kentucky, Indiana, Michigan, Illinois, Florida, Tennessee, West
Virginia, Pennsylvania,
Missouri, Georgia and North
Carolina. Fifth Third operates four main businesses:
Commercial Banking, Branch Banking, Consumer Lending, and
Investment Advisors. Fifth Third also has an 18.3% interest in
Vantiv Holding, LLC. Fifth Third is among the largest money
managers in the Midwest and, as of December
31, 2015, had $297 billion in
assets under care, of which it managed $26
billion for individuals, corporations and not-for-profit
organizations. Investor information and press releases can be
viewed at www.53.com. Fifth Third's common stock is traded on the
NASDAQ® Global Select Market under the symbol "FITB." Fifth Third
Bank was established in 1858. Member FDIC
Copyright © 2016 Fifth Third Bank, Member FDIC,
Equal Housing Lender, All Rights Reserved.
1 55 percent of respondents know how much money is
recommended for an emergency fund.
2 69.3 percent of respondents do not have six months of
living expenses saved in an emergency fund.
3 55.2 percent of respondents do not contribute to a
401K, IRA or other retirement plan.
4 49.9 percent of respondents know how much money is
currently in their retirement account.
5 69 percent of baby boomer respondents are in credit
card debt.
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SOURCE Fifth Third Bank