man learning personal finance facts

5 Surprising Personal Finance Facts Everyone Should Know

Most people think they know how to manage their money, but you’d be surprised at the number of Americans living paycheck to paycheck or struggling to face a financial emergency. These 5 shocking personal finance facts shed light on the true condition of American finances and what most of us deal with every day.

We’ll also dive into how a title loan can help if you’re in a tight spot and how to responsibly apply for one today.

5 Surprising Personal Finance Facts

1. One-Third Of Americans Won’t Have Enough Money During Retirement.

Studies over the past few decades up through this past year have consistently shown that many Americans are not prepared for retirement. For some, it may seem too far away or they plan to depend solely on Social Security payments. For others, the struggle of day-to-day bills is overwhelming enough to put retirement planning on the sidelines.

Even if you can only put aside $25 per month in a personal Roth IRA or a 401k through your job, you will be steps ahead of thousands when it comes time to take off your work shoes for good.

2. Saving Less Money Earlier Is Better Than Saving More Money Later In Life.

If you’ve never learned about compound interest, now is as good a time as ever. Compound interest is when you earn money on a principal (main amount) you have put into an investment. Not only does your principal earn interest, but now your new total (principal + interest earned) earns interest as well!

The magic of compound interest comes the earlier you start. For example, if you start investing $20 per month over 30 years at a 6% interest rate, you’ll have over $20,000 by the end of the 30 years, out of which only $7,200 is your money and $12,890 is interest you earned.

If you put in $50 every month for 20 years, trying to make up for a 10-year stint, you would deposit over $12,000 but only end up with $23,102 total. See the difference?

personal finance facts on calculator

3. Twenty-Eight Percent Of American Homes Have An Income Below $25,000.

While it might seem like others are living large, the truth about these personal finance facts is that almost one-third of American households are making below $25,000. The “keeping up with the Joneses” culture of the U.S. sometimes makes it seem like we are financially behind our peers, but considering debt and reported income, that may not be the case.

4. One-Third Of The Average Adult Income Is Spent On Paying Off Debt.

A standard recommendation for an adult’s income is to split it 50/30/20. Fifty percent should pay your bills and housing, 30% should go towards your wants, and 20% should cover your savings and debts.

If the average American is spending 30% on their debts instead, we can assume most aren’t cutting back on their wants to pay this, but instead cutting out savings. While paying off high-interest debt is smarter than putting your money into a low-interest savings account, the true solution is to cut back on unnecessary spending until you can recover the 50/30/20 rule.

5. More Than Half Of Americans Can’t Cover A $1,000 Emergency.

If your car or water heater broke down tomorrow and you needed $1,000 to cover the repairs, are you prepared? The reality is that most of us aren’t. These personal finance facts are here to say that a large portion of Americans would use their credit card as a solution or borrow from family and friends.

While these are short-term solutions, this shows the need for building up an emergency fund.

getting title loan cash

How To Manage A Financial Emergency

If you fall into one or more groups within these personal finance facts and can’t face a financial emergency today, don’t fear. You are not alone and there are solutions out there for you. The first step is to deal with the emergency at hand, whether that be an unexpected repair expense, housing cost, or travel for a funeral or illness.

Instead of stressing ties with family or draining the savings, you do have, consider getting a personal title loan from Utah Title Loans, Inc. We can get between $300 and $15,000 in your pocket as early as this evening or the following and you can breathe easy and plan your next steps with cash in hand.

Getting A Title Loan

To get a title loan from Utah Title Loans, Inc. you’ll need a state-issued I.D. and the lien-free title for your car.

  • First, fill out the form on our home page.
  • Then, wait for a call from one of our knowledgeable representatives to discuss your needs and any questions you have. The rep will coordinate to have you bring your car in or meet you elsewhere to inspect your vehicle. After this quick inspection, they’ll determine if you’re eligible for the loan.
  • If approved, you could have your title loan cash by the end of that same day or the following business day and you get to keep your car during the loan!

Get Your Finances On Track Today!

Whether these personal finance facts were known or new to you, it’s clear that most Americans could use a hand when it comes to money management. If you’ve found yourself in a tight spot and need cash fast, inquire about a Utah car title loan today. All it takes is a few minutes and you could get the rush of financial relief that you’ve been looking for.

Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.

Daniel Dewitt

Daniel Dewitt is a lifetime blogger with a finely-honed ability to break down, analyze, and interpret economic trends for the layman. He's fiercely invested in spreading financial literacy and helping everyday people gain the tools they need for their own economic success.