Financial literacy is proven to improve the lives for people who exercise the knowledge and knowhow. We believe it, and the numbers from this study say more than we ever could about the value of numbers as it relates to individuals in the United States.
- The U.S. ranks 14th globally in terms of financial literacy.
- With a 57% literacy average, the U.S. beats Botswana (52%) but gets edged out by countries like Germany (66%) or Canada (68%)
- Only 16.4% of U.S. students are required to take a personal finance class in schools.
- 76% of millennials lack basic financial knowledge.
- Between 2009-2015, Americans got worse at answering five key personal finance questions posed by FINRA – a major U.S. financial regulator.
- And worse, this lack of knowledge is translating into anxiety and even fear.
- Four of five adults say they were never given the opportunity to learn about personal finance.
- 70% of millennials are stressed and anxious about saving for retirement.
- 22% of millennials feel overwhelmed about their finances.
- 60% of Americans say they know someday they will need to be more financially secure – they just don’t know how to get there. This number increases to 70% for those between the ages of 18-39 years old.
- People with strong financial skills are better at job planning and saving for retirement. Meanwhile, financial savvy investors are more likely to diversify risk, and students that take a personal finance course see up to a 5.2% increase in credit scores within two years.
(SOURCE: Visual Capitalist, JEFF DESJARDINS on October 28, 2018)