Why Americans are finding saving increasingly difficult

Two-thirds of Americans currently feel behind on their savings goals, according to a new survey.

The survey of 2,000 Americans, split evenly by generation, revealed 67% feel this way — with 47% also admitting they don’t believe they’ll “ever” reach their savings goals.

This is likely due in part to respondents needing to take money out of their savings accounts.

Six in 10 (63%) of those with savings have withdrawn money since the beginning of the new year — with one in five (19%) taking money out five or more times.

Commissioned by consumer banking app Current (https://current.com) for National Financial Literacy Month and conducted by Talker Research, the survey revealed that, unfortunately for Americans, they aren’t using this money for anything fun.

When asked what they’re spending their savings on, unexpected expenses topped the list (48%).

That was followed by everyday purchases they otherwise couldn’t afford (36%), emergencies (30%) and money for rent or their mortgage (23%).

Only 18% have actually taken money out to spend on something they were working to save for.

The survey found that the average respondent is putting $496 into savings per month.

But that isn’t feasible for everyone, and the results also revealed that three in 10 (31%) are putting $200 or less in their savings account each month.

Being limited in what they can put into savings — and needing to take money out to cover unexpected expenses — means 25% of respondents have less money in their savings account now than they did at the start of 2025.

Gen X were the most likely to have decreased their savings, at 31% — while millennials were the least likely, at 19%.

Millennials appear to be holding steady, with 39% saying their savings have stayed the same, while Gen Z were the most likely to have actually increased the money in their account (38%).

“Americans are demonstrating incredible resilience and commitment to saving, even in challenging times,” said Erin Bruehl, vice president of communications, Current. “The fact that people are actively trying to build emergency funds shows their commitment to financial responsibility.

“Over 60% of people have needed to use their savings this year, highlighting exactly why Americans are smart to try and build this financial cushion. Their savings are successfully serving their intended purpose — helping navigate both unexpected costs and ensuring they can maintain their essential needs.”

The survey also asked respondents about the role their bank plays in their savings habits.

Seventy-one percent of Gen Zers said their bank has been helpful in reaching their goals — compared to 61% of millennials, 51% of Gen X and 41% of baby boomers.

Even then, 52% of Gen Z believe they could get “more” from another bank, which is higher than any other generation.

This may be due in part to three in 10 Gen Zers believing the benefits offered through their bank are “outdated,” compared to just 11% of baby boomers.

And that may contribute to the 45% of Gen Z who would be willing to switch banks — compared to just 21% of baby boomers.

“Americans should select financial institutions that help them reach their goals,” Bruehl said. “Online or mobile-only solutions often offer higher savings rates than traditional banks without monthly or minimum balance fees and provide additional benefits like early paycheck access and fee-free overdraft protection that provide additional cushion when bills are due. These benefits put more money in consumers’ pockets and can help people achieve their goals faster.”