Inflation making US households uneasy about emergency savings

Survey: More than half of U.S. adults are concerned about their emergency savings. Of those who were uncomfortable with their emergency fund, 75% had no savings or not enough to cover at least three months’ worth of living expenses. The survey was conducted by Bankrate between June 3 and 5, 2022.

Just 43% of those who were very uncomfortable have any savings at all. Among households that earned more than $100,000, more than half were somewhat or very comfortable with their emergency savings. Less than half (46%) of those earning $50,000 to $99,999 reported being comfortable with emergency funds.

Just 38% of millennials (ages 26-41) were somewhat or very comfortable with their emergency savings. Only 24% of adults surveyed reported having more money in an emergency fund than they did a year ago. Among adults earning less than $50,000 annually, 37% had no emergency savings at all.

In May, the consumer price index – a broad measure of the price for everyday goods, including gasoline, groceries and rents – rose 8.6% from a year ago. 22% of households surveyed had enough saved to cover three to five months’ worth of expenses — the highest percentage since 2011.