More Than Half of Americans Plan to Pay Down Debt in 2020
According to the 2020 New Year Financial Resolutions Study from Fidelity Investments, 67% of Americans have a financial resolution for the coming year. That’s an increase from 61% the year prior.
Paying down debt was one of the top resolutions (51%), as well as saving more money (53%). With regards to why Americans are setting these resolutions, 68% said they want to live a debt-free life, and 56% want better control over their daily expenses.
A staggering 85% of respondents said they plan to build up their emergency savings in 2020. Comparatively, only 50% plan to increase retirement contributions. Slightly more (52%) plan to get more involved with charitable giving in the new year.
Surprisingly, financial resolutions ranked higher than other self-care resolutions. Only 53% of survey participants want to exercise more in 2020, and 50% want to spend more time with loved ones. When asked to choose between two scenarios, 84% of Americans would rather reduce debt than reduce screen times on their phones, computers and televisions.
Americans appear to be set for a prosperous upcoming year: 78% said they were in a better place with their money this year than they were last year. Nearly half (47%) said they were able to save more money this year, and 29% said they had gotten better at budgeting their finances.