More than half of Americans say they are in financial recovery mode

More than half of Americans say they are in financial recovery mode
Northwestern Mutual survey finds most respondents' financial planning is focused on the short term, with only 14% actively planning more than five years out.
JUN 24, 2021

While 58% of U.S. adults say they are in financial recovery mode as a result of the pandemic, 89% of them are confident they will ultimately achieve a full financial comeback.

That’s the key finding of a survey conducted by Northwestern Mutual, which found that average personal savings rose more than 10%, from $65,900 last year to $73,100 currently, and average retirement savings increased 13%, from $87,500 to $98,800.

The survey also found that while 33% of people say they have been able to save more over the last year, 31% say they are saving less or stopped saving altogether and 9% say they have had to dig into savings and are going backwards.

Among those who say they are in financial recovery mode, the survey found that only 14% are actively planning more than five years out, while 24% are planning month-to-month.

“Maintaining momentum over time will require a long-term view, and the study shows that planning horizons today are quite short,” Northwestern Mutual said in a release.

The survey of 2,320 Americans 18 or older was conducted between March 16 and March 26.

Putting a price tag on ransomware attacks

Latest News

SEC charges Chicago-based investment adviser with overbilling clients more than $2.5M in fees
SEC charges Chicago-based investment adviser with overbilling clients more than $2.5M in fees

Eliseo Prisno, a former Merrill advisor, allegedly collected unapproved fees from Filipino clients by secretly accessing their accounts at two separate brokerages.

Apella Wealth comes to Washington with Independence Wealth Advisors
Apella Wealth comes to Washington with Independence Wealth Advisors

The Harford, Connecticut-based RIA is expanding into a new market in the mid-Atlantic region while crossing another billion-dollar milestone.

Citi's Sieg sees rich clients pivoting from US to UK
Citi's Sieg sees rich clients pivoting from US to UK

The Wall Street giant's global wealth head says affluent clients are shifting away from America amid growing fallout from President Donald Trump's hardline politics.

US employment report reactions: Overall better than expected, but concerns with underlying data
US employment report reactions: Overall better than expected, but concerns with underlying data

Chief economists, advisors, and chief investment officers share their reactions to the June US employment report.

Creative Planning's Peter Mallouk slams 'offensive' congressional stock trading
Creative Planning's Peter Mallouk slams 'offensive' congressional stock trading

"This shouldn’t be hard to ban, but neither party will do it. So offensive to the people they serve," RIA titan Peter Mallouk said in a post that referenced Nancy Pelosi's reported stock gains.

SPONSORED How advisors can build for high-net-worth complexity

Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.