From Capital Counselor, Bojana Petkovic has put together some terrific statistics on personal finances. Some of my favorites are:
Financial Planning Statistics and Tips
Finally, let’s see what you can immediately apply in practice:
26. If you make multiple payments to your credit card debt each month, you should be able to lower the interest cost.
When you pay the money to your card several times a month, that helps lower the debt. The same goes for paying your mortgage rate, in a similar way.
The interest rate is calculated according to the average daily balance, so this certainly helps.
27. One of the easiest ways to save money is to avoid products from eye-level shelves as they have the priciest products.
Personal budgeting statistics can be bettered even with simple knowledge.
This is a marketing technique that works wonders for the companies but takes money from consumers’ pockets.
If you check the bottom shelves in supermarkets, you’ll probably find a cheaper product of the same quality.
28. The “50-30-20” budget rule says you should dedicate 20% of your income to savings and investments.
Ideally, 50% should go to needs, such as mortgages, gas bills, utility bills, etc. Netflix is not a part of the equation. It belongs to the 30% category meant for the things that aren’t considered essentials, such as eating out.
How much does the average American have in savings in 2020? Reports say the above statistic is still true — $175,510.
29. Limiting time on social media helps save money.
In one survey, 57% of Millennials spent more than they had originally planned because they were inspired by social networks.
If you notice you’re prone to this too, try unfollowing some Instagram or other social accounts. That will probably make a change for the better.
30. $2,000 is the amount of money you need for emergencies.
This is the average amount, estimated by experts from the Federal Reserve Bank of New York.
$2,000 should be enough to help you deal with sudden financial blows.
31. Important personal finance statistics: check your credit reports regularly because 20% of them have errors.
If you’re among the 16% of Americans who never-ever check their credit reports, you might have paid more than you should have.
The main problem with this isn’t just the present, but your low credit score will definitely affect future loan possibilities.
Read the full story at 31 Awesome Personal Finance Statistics to Know in 2020