Seven out of ten Americans feel financially insecure

A new Bankrate survey revealed that the vast majority of Americans do not feel financially secure. Seventy-two percent said they felt insecure about their economic status, compared to only 28% who said they felt secure.

Most respondents blamed the economic crisis for their financial situation. Sixty-three percent attribute it to high inflation; 48% pointed out the general economic environment; 36% said this is due to rising interest rates; 33% blame their poor situation on low wages; and 26% claim it is due to have a large amount of debt.

Men, Whites and baby boomers are the most financially secure

The survey revealed that men (30%) are more likely to feel more financially secure than women (26%). When it comes to race, Whites (31%) are more likely to feel financially secure than Blacks (21%) and Hispanics (22%).

For generations, the results were discouraging, as no group managed to feel financially secure.

- 25% of Generation Z (ages 18 to 26) said they do not feel financially secure.

- 28% of Millennials (between 27 and 42 years old).

- 19% of Generation X (ages 43 to 58).

- 32% of Baby Boomers (ages 59-77).

Overall, almost half of the respondents (46%) said they believe that one day they will have financial security, while 26% indicated that they will probably never have it.

To be financially secure, you would need to earn more than $200,000 per year

To achieve financial security, most Americans said they would need $233,000 a year in their accounts. However, the median earnings of a full-time employee were $53,888 in 2021, according to the Census Bureau.

Women are more likely to say they would need to earn more money to feel financially secure (+4% or $237,000) compared to the amount reported by men ($229,000).

On the other hand, to feel wealthy or achieve so-called "financial freedom," citizens overwhelmingly said they would need about $483,000 a year. Nearly a third (31%) claim they would need $500,000 or more and about 21% said they would need to earn $1 million or more.

On average, women expressed that they need to earn a larger amount of money ($502,000) per year to feel they achieved financial freedom, versus what men say they need to feel wealthy (almost $465,000).

The Bankrate and YouGov survey polled 2521 U.S. adults from June 5-7.