While people are feeling the ongoing impact of the pandemic, Money/Finances is the No. 1 driver of stress for them, according to the second annual Huntington “Money Mindset” survey, a barometer on financial wellness.
Forty- seven percent of respondents selected Money/Finances as the main reason for creating stress in their lives, while 40% cited the pandemic and 37% cited health. Additionally, 46% percent reported living paycheck to paycheck, up from 40% in the previous Money Mindset survey. In another dramatic shift from the previous survey, 51% of participants in the 2021 survey reported having funds set aside for emergencies, down significantly from 64%.
“Stress related to money and finances is a clear reflection of the challenges many people are having during these difficult times,” said Andy Harmening, Huntington’s president of Consumer and Business Banking. “Personal finances are often about planning, and we want to do everything we can to help people better understand where their money is going in an effort to look out for them.
“At Huntington, we are focused on the financial health and wellbeing of the consumers and businesses in our local communities,” Harmening added. “While people may be stressed about their short- and long-term financial health, the good news is that there are many tools and resources available to help people get on track and then maintain good financial habits.”
The 2021 Money Mindset survey was conducted in late 2020 and early 2021. Other key findings from the most recent survey include:
1. More than one-third (36%) of total respondents reported choosing between paying a medical bill or some other cost like utilities or groceries in the past two years. This is up from 27% in 2019.
2. 40% or more of 18- to 55-year-olds reported choosing between paying a medical bill and some other cost. Only 20% of respondents 56 and older had to make this difficult choice.
Age and Financial Resources
1. 16% of those ages 18 to 23 and 13% of those 24 to 39 reported needing to borrow for rent.
2. Further, 12% of respondents 18 to 39 reported needing to borrow for everyday expense.
3. In older age groups, response rates in these categories were significantly smaller.
Concerns About Retirement
1. Retirement savings is even more of a concern, with 58% of respondents indicating they are worried about not saving enough for retirement – up from 55% in 2019.
2. The most concerned age group is 40 to 55-year-olds with 69% (nearly 7 in 10) expressing concern over retirement savings.
The independent research firm OnePoll completed the Money Mindset online survey, which included 2,103 completed responses from participants aged 18 and older and residing in Illinois, Indiana, Kentucky, Michigan, Ohio, Pennsylvania and West Virginia. Surveys were completed between November 25, 2020, and January 14, 2021.
HR Technology News: What To Keep In Mind When Selecting A Field Workforce Management Platform