It’s A Shame How Many Americans Lie To Themselves About Their Finances

Something doesn’t quite add up in a new Country Financial study.

Out of 3,000 Americans surveyed, more than

half said they spend more than they earn at

least a few months out of the year. Makes sense

– who doesn’t whip out their credit cards for

extra spending room around the holiday season?

But then you get to the next piece of data in the     See Also

survey, where only 9 percent said they think       …………………………………………………………………

they’re living beyond their means.               Early Retirement Could Send You To An Early Grave

If that were the case, then they wouldn’t need to   

dip into their savings account or run up credit

cards, right?                                                    It’s Your Money 

Wrong. More than one-third said they’ve picked     

apart their savings to make ends meet, while

another 22 percent turn to credit when things   Credit Score

get tight.Only 14 percent actually adjust their        

budget.Turning to backup plans like savings

accounts in desperate times might help out in

the short-term, but consumers risk missing

out on whatever benefit they might gain by

letting them grow. That’s the same mentality

that’s kept so many consumers from

contributing to 401(k)s. Without a clear picture

of  their financial future, they’re more likely to

think about their needs in the present.

Of course, the first step to financial recovery

is admitting you have a problem. Looks

like most of us aren’t quite there yet.