Savings Are Up, But So Is Spending

According to a new survey from CIT Bank conducted by The Harris Poll, an encouraging 70% of Americans are saving the same amount of money (or more) compared to last year.

However, despite prioritizing their savings, 49% of respondents made a New Year’s resolution that involves a purchase, such as a material item or subscription service, signaling a potential concern in balancing savings goals with spending temptations.

The top 2022 resolutions are all about prioritizing health, personal lives and finance, with some generational differences: 
  • Health: 65% (e.g., prioritizing mental health, developing healthy habits, practicing self-care, managing weight, etc.); highest among boomers/seniors (ages 56+), 78%
  • Personal Life: 59% (e.g., focusing on spending more time with family/friends, traveling, getting out more, etc.); highest among Gen Z (ages 18 - 26), 66%
  • Finances: 54% (e.g., prioritizing budgeting, saving, investing, etc.); highest among Gen X (ages 41 - 55), 62%
  • Professional development: 35% (e.g., go back to school, switch careers, learn a new skill, etc.); highest among millennials (ages 27 - 40), 47%
  • Societal Involvement: 28% (e.g., volunteer, donate, become more politically/socially active, etc.)
The top financial-related resolution for 2022 is to save more money, according to 77% of respondents. In fact, saving is the top financial goal across all income brackets and generations, outpacing improving credit scores (48%), spending less money (48%), reducing debt (47%), investing more (43%) and contributing to 401k and HSA plans (24%).

Americans have implemented a variety of methods to ensure that they stick to their resolutions, with 52% of respondents who've made resolutions in the past using reminders, journaling and check-ins, 36% using monetary rewards and 33% using external motivation, such as working with a buddy who's also keeping the same resolution.

With so many Americans prioritizing their savings, it's not surprising that 88% of respondents who are saving more this year compared to the same time last year believe that their savings have allowed them to be more flexible in how and when they spend their money.

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