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Only 57% of Americans are financially literate, study finds

Over 40% of Americans aren't familiar with money-saving tools like high-yield savings accounts and Roth IRAs, researchers found.

CHARLOTTE, N.C. — A recent study found that just over half of Americans are considered financially literate, which refers to knowledge about money and options for saving and investing. 

These tools can include strategies for saving for college, retirement, buying a house or maybe just paying off debt. 

A new study from MarketWatch found that nearly half of Americans aren't aware of all the tools at their disposal. Researchers exited the study with two key takeaways. 

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First, only 57% of adults are financially literate. Second, over 40% of Americans aren't familiar with Roth IRAs, money market accounts and high-yield savings accounts. On the other hand, nearly 70% of people know about 401(k)s but don't know how to use them. 

A third takeaway from this study comes from WalletHub. Researchers examined all 50 states for financial literacy. They looked at all sorts of data, including how adults spend their money, credit scores, how many people have savings accounts and if they're spending more than they earn. 

Based on the criteria, North Carolina came in at No. 16. South Carolina was much lower at No. 39. 

Contact Kia Murray at kmurray@wcnc.com and follow her on Facebook, X and Instagram.

WCNC Charlotte's Where's The Money series is all about leveling the playing field in the Carolinas by helping others and breaking down barriers. WCNC Charlotte doesn't want our viewers to be taken advantage of, so we’re here to help. Watch previous stories where we ask the question “Where’s the Money” in the YouTube playlist below and subscribe to get updated when new videos are uploaded. 

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