Study: Nearly 30% Of Cleveland Residents Say They Fail At Finance

Press release from Edward Jones:

June 23, 2021

According to a new study released by financial services firm Edward Jones conducted by Morning Consult, over a year after the disruption and devastation caused by the pandemic, nearly three in ten Cleveland residents (29%) grade themselves a ‘D’ or ‘F’ when it comes to their finances. As indicated by the survey, a surprisingly high number of Cleveland residents (18%) are not currently saving for either long-, mid- or short-term financial goals.

COVID-19 Sacrifices Savings, But Offers Hope for Financial Futures

Sixty-two percent of Cleveland residents have made sacrifices in their financial plans over the past year, including contributing less to savings, reallocating savings and re-prioritizing financial goals. Cleveland residents also made saving sacrifices slightly above the average of the 10 states surveyed, as on average 59% indicated making similar changes to their saving plans. Despite these challenges, Cleveland survey respondents are hopeful post-pandemic, expressing that becoming debt free and financially responsible (51% and 47% for each respectively) are top priorities.

"With many families in our community forced to choose between short-term and long-term needs, the pandemic has offered new perspectives,” said Laura Radcliffe, Edward Jones financial advisor in the Cleveland office. "It's put into greater focus health, family and purpose, the things that are truly important, and the need for greater financial resilience should the unexpected occur. I'm having very different conversations with my clients today than I was 14 months ago, which is a good thing."

Cleveland Residents Balance Short- and Long-Term Financial Goals

As life slowly returns to normal for many, Americans and Cleveland residents alike are keeping a close eye on the short-term, while looking to their futures. Cleveland residents are prioritizing saving for short-term goals (38%), such as taking a trip or paying off credit cards, and long-term goals (46%), like retirement contributions, over mid-term goals (24%), including education, buying or remodeling a home. This is similar to what the majority of those surveyed are saying about how they are balancing their financial goals (short-term – 36%, mid-term – 29% and long-term – 50%).

However, despite this optimism for the road ahead, Cleveland residents recognize the need for improvement in achieving these goals. According to the survey, 23% of Cleveland residents expressed concern over their financial standing, and only 22% consult a financial advisor for financial advice.

“Following a year of challenges, it's okay to ask for help to get back on track," added Radcliffe. “Working with someone you trust is key. Whether that is a family member or a financial advisor, it can give you confidence and a plan for a brighter financial future."

Methodology

Cleveland: This poll was conducted from March 26 – April 16, 2021, among 200 adults in Cleveland. The interviews were conducted online, and the data is unweighted. Results from the survey have a margin of error of +/- 7%.

Gen Pop: This poll was conducted from March 25 – March 28, 2021, among a national sample of 2200 adults. The interviews were conducted online, and the data is weighted to approximate a target sample of adults based on age, educational attainment, gender, race, and region. Results from the full survey have a margin of error of +/- 2%.

This press release was produced by Edward Jones. The views expressed here are the author's own.