The economy over the last several years has taken its toll on the average household. Comparison websites can help consumers by finding the best rates on a number of financial products that can ease the burden of debt.
Household savings have taken a real beating and many economists did not see that changing in the foreseeable future. Wages were expected to stay the same and the general economic outlook has remained rather gloomy according to news reports.
A recent bit of good news has put a halt to the constant doom and gloom predicted by economists. Apparently, earnings in the United States have risen in recent months and are now higher than they have been for the past several years.
Americans are earning more money and are doing something with their money that they have not been able to do in a long time. In fact, people are putting their money into their savings accounts to bolster up depleted resources.
This turn of events has rather surprised some economists since the earnings were not expected to rise as they did. In recent years earnings had not kept up with inflation and were expected to remain flat.
Inflation is now subsiding to a more manageable level and this has put less pressure on American households.
Unemployment rates are still a worry but with the inflation rate lowering this should open the way for more job creation.
A savings account with enough money for emergency funds is something that every person should have. Financial experts advise that there should be enough money in the account to live on for at least six months if a job loss should occur.
This means having enough money to pay the mortgage, the utility bills, car payments and groceries. With the recent economy this has been a tall order for the average person and many people do not have any savings at all.
People are using their credit cards and obtaining loans more now than they ever have. The higher earnings reports across the board are welcome news to those who had predicted a continued economic downturn.
With more money put into savings accounts Americans can ease the stress and burden of a weak economy.
People are still weary from the recent economic climate and do not seem to be in a rush to spend the extra earnings that are now coming into the household.
Right now is the time to recoup financial losses and shore up the reserves. The earnings increase is a sure sign that spending will again go up to further bolster the economy.
People are still weary from the past years of financial meltdown and are putting their money into savings accounts as a respite from the economy.
Consumers are still not sure about the long-term outlook of the economy and are increasing their savings. When people get more confidence in the long-term economic outlook the levels of spending will rise again.
retirebyforty> Our income went up a little bit this year from the tiny raises we both received from our employer. We have more expenditures than previous years because we now have baby RB40 to feed. We are putting anything extra into saving and investment especially now that we can contribute to the 529 plan to pay for future education. If the economy gets more stable next year, I would be more willing to spend some money on consumer goods.