Money on the mind? In a recent study commissioned by GuideVine, that polled 1,000 Americans 30 and over about their finances, found many are sorely lacking in knowledge when it comes to basic financial terms.
Most misunderstood basic financial concepts related to what interest is, the concept of bankruptcy and how inflation works. Less than half of those polled can confidently explain what a 401(k) is.
Over half of those polled say they feel lost when it comes to a long-term financial and stable financial plan. Only 13 percent have a 5-year plan for their finances.
When it comes to home ownership only 27 percent think they’ll ever own a home, while 36 percent say that a comfortable retirement isn’t in the cards for them. Only 24 percent of those polled are unable to save anything each month.
Some of the biggest financial mistakes include being unable to stick to a budget, accumulating unnecessary debt and saving enough for emergencies and retirement.
When it comes to trust in financial advisors only 49 percent believe that financial advisors are trustworthy while 64 percent have never sought professional financial advice before.
According to GuideVine CEO, Raghav Sharma, part of the distrust stems from the lack of transparency because “making sense of all the different financial professionals is very confusing: there are literally hundreds of thousands of representatives in the industry.”
To learn more about how GuideVine makes the search for a financial advisor, easier, smarter and more personal visit GuideVine.com
If you have questions or you’re not sure where to start you can make an appointment with GuideVine’s Concierge Service. It’s a free and convenient option with no obligation to sign up with an advisor.