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Please note!
This fact brief was originally published as an experiment to test the concepts behind fact briefs.
Readers should be aware that while there is still a lot of useful information in fact briefs like this one, not all of them reflect Gigafact's current methods and standards for fact briefs. If you come across any that you feel are out of date, don't hesitate to contact us at support@gigafact.org.
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FACT BRIEF

Do two-thirds of Americans have no savings?

By Lisa Freedland
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NO

Estimates of the number of Americans with no financial savings vary, but all are lower than two thirds.

A July 2021 survey by Bankrate found that one in four Americans (25%) have no backup cash in the event of an emergency — up from 21% in 2020.

A February 2021 survey by GOBankingRates found that 40% of Americans had less than $300 in savings.

GOBankingRates reported in 2019 that 45% of Americans had $0 dollars in a savings account. Respondents attributed their inability to save to living paycheck-to-paycheck and a high cost of living. The top cited solution to these issues was a higher salary.

A 2019 Federal Reserve survey found 12% of respondents could not afford a $400 expense, while an additional 37% would use credit cards, borrowing, or selling to cover it.

Most financial planners recommend maintaining an emergency fund capable of covering 3-6 months of expenses. 

This fact brief is responsive to conversations such as this one.
Sources
Bankrate Survey: More than half of Americans couldn’t cover three months of expenses with an emergency fund
GOBankingRates Nearly 70% of Americans Have Less Than $1,000 in a Savings Account
GOBankingRates Americans’ Savings Drop to Lowest Point in Years
Federal Reserve System Dealing with Unexpected Expenses
Vanguard What's the right emergency fund amount?
ABOUT THE CONTRIBUTOR
Gigafact
Between 2020 and 2022, under close editorial supervision, Gigafact contracted a group of freelance writers and editors to test the concepts for fact briefs and provide inputs to our software development process. We call this effort Gigafact Foundry. Over the course of these two years, Gigafact Foundry writers published over 1500 fact briefs in response to claims they found online. Their important work forms the basis of Gigafact formats and editorial guidelines, and is available to the public on Gigafact.org. Readers should be aware that while there is still a lot of relevant information to be found, not all fact briefs produced by Gigafact Foundry reflect Gigafact's current methods and standards for fact briefs. If you come across any that you feel are out of date and need to be looked at with fresh eyes, don't hesitate to contact us at support@gigafact.org.
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About fact briefs published on Gigafact
Fact briefs are short, credibly sourced summaries that offer “yes/no” answers in response to claims found online. They rely on publicly available, often primary source data and documents. Fact briefs are created by contributors to Gigafact —a nonprofit project looking to expand participation in fact-checking and protect the democratic process. See all fact briefs here.