Among consumers who have set financial goals for 2024, the most common one is paying down debt, according to the results of a survey conducted by Bankrate. While that may be good news for collectors, the flip side of that coin is that many consumers, unfortunately, do not expect their financial situations to improve in 2024, although it the number of pessimists is lower than the number who were asked last year.
By the Numbers: Sixty-three percent of consumers do not think their financial situations will improve in 2024, down from 66% last year.
- Nearly 90% of consumers have set financial goals for themselves in 2024. The most popular? More than one-in-five say their goal is to pay down their debts. After that, it’s finding a higher-paying job or another source of income, saving more for emergencies, and budgeting their spending better.
- Interestingly enough, while many don’t think their financial situations will improve, 42% of consumers expect to take home more money next year, thanks to raises at work, Social Security benefits, or pensions. Most of that extra income is expected to be eaten up by inflation.
The Big Picture: More Americans (37% this year compared with 34% last year) think their financial situations are going to improve in 2024. All signs point to the economy remaining resilient in 2024 and inflation continuing to steadily decrease.
The Last Word: “A staggering 61% of those not expecting their financial situation to improve point to continued high inflation as a culprit — nearly twice that of any other reason,” said Greg McBride, the chief financial analyst at Bankrate. “Of the 37% of households expecting improved finances in the new year, higher income, better spending habits and less debt are the most common explanations for their optimism.”
