Consumers

Saving For a Rainy Day/Week/Month/Year

2020/05/21

The IRS may have put Santa out of business this year. Why wait in line to sit on his lap when you can do nothing and get cash in your bank account?

 

For the two-thirds of Americans who have received an economic impact payment, the average payload was $1,694 stuffed into their government-issued Christmas stocking.

 

Among the one-third who haven’t received a stimulus payment, nearly half (46%) think they are eligible to receive one while 22% are unsure.

 

If the purpose of the payments was to provide emergency relief to help make ends meet or stimulate the economy … well, that’s not how they are being used. Recipients are saving 34% of their payment and spending approximately 15% on housing expenses and 14% on essentials like food and toilet paper.

 

The hoarding award goes to young adults ages 18-30 who are saving 42% of their payment. Can we blame them? Usually “once-in-a-lifetime” means exactly that.