Are only 33% of adults worldwide are financially literate? (2024)

Are only 33% of adults worldwide are financially literate?

Only 33% of adults worldwide are financially literate, meaning 3.5 billion adults globally lack understanding of basic financial concepts, suggesting deep disparities in financial knowledge around the world.

How many adults are financially literate?

Only 57% of American adults are financially literate. 73% of teens want a more personal finance education. Americans lose an average of $1,819 annually due to financial illiteracy. 77% of Americans are financially anxious.

What percentage of people would pass as financially literate?

Highlights: Financial Literacy In America Statistics

Approximately 63% of Americans could not pass a basic financial literacy quiz. About 25% of Americans have nothing saved for emergency expenses. Only about 16.4% of U.S. students are required to take a personal finance class in schools.

Are 57% of American adults financially literate?

A survey from credit rating agency Standard & Poor's (S&P) found only 57% of adults in the U.S. are financially literate. Creating a baseline for financial literacy may be tricky, as it can vary by definition.

What percent of Gen Z is financially literate?

Finding Their Financial Footing

Only 46% of Gen Z feel confident about their financial knowledge, for instance, which is a lower percentage than baby boomers, Gen X, and millennials who said the same.

How many people in the world are financially literate?

We choose this definition because the concepts are basic and this is what would correspond to a passing grade. Based on this definition, 33 percent of adults worldwide are financially literate.

What percent of adults are illiterate in the world?

How many adults are not financially literate?

Just under two-thirds of Americans (64%) are financial literate, while over one in three (36%) are not. Financially literate Americans are led by Baby Boomers (71%), Gen X (63%), and Millennials (59%) while Gen Z (42%) trails behind.

How many adults struggle financially?

Almost 40% of American adults report they struggle to make ends meet each month, an increase from 34.4% in 2022 and 26.7% in 2021.

What is the 50 30 20 rule for financial literacy?

The idea is to divide your income into three categories, spending 50% on needs, 30% on wants, and 20% on savings. Learn more about the 50/30/20 budget rule and if it's right for you.

Do 30% of Americans have no savings?

If you've got nothing saved for retirement, you're not alone. Nearly 30% of Americans have $0 saved for retirement, per recent data from personal finance website GOBankingRates. Another 33% have less than $50,000 saved.

How many adults are literate in the world?

In the past five decades, the global literacy rate among adults has grown from 67 percent in 1976 to 87.01 percent in 2022. In 1976, males had a literacy rate of 76 percent, compared to a rate of 58 percent among females. This difference of over 17 percent in 1976 has fallen to just seven percent in 2020.

Are rich people more financially literate?

Financial literacy, on the other hand, refers to the knowledge and understanding of various financial concepts, including budgeting, investing, saving, and managing debt. It's important to note that financial literacy doesn't necessarily correlate directly with wealth or income.

What generation is the least financially literate?

Key Insights. Financial literacy tends to be low within each of the five generations, but particularly so among Gen Z. Two-thirds of Gen Z could answer only 50% or less of the index questions correctly. Within Gen Z, financial literacy tends to be lowest among those who have never attended college.

Which generation is the wealthiest?

Millennials stand to become the richest generation in history, after $90 trillion wealth transfer | CNN Business.

Who is the most literate in the world?

Literacy Rates by Country

There are nine countries in the world that have a 100% literacy rate: Andorra, Finland, Greenland, Liechtenstein, Luxembourg, Norway, Ukraine, Uzbekistan, and North Korea.

What is financial literacy in today's world?

A strong foundation of financial literacy can help support various life goals, such as saving for education or retirement, using debt responsibly, and running a business. Key aspects of financial literacy include knowing how to create a budget, plan for retirement, manage debt, and track personal spending.

What country is the most financially literate?

Top 10 countries championing financial literacy worldwide. According to a survey by the Standard & Poor's Ratings Services Global Survey, Denmark, Norway, and Sweden rank the highest on the list of the most financially literate countries.

Are 21% of adults illiterate?

Nationwide, on average, 79% of U.S. adults are literate in 2022. 21% of adults in the US are illiterate in 2022. 54% of adults have a literacy below sixth-grade level. 21% of Americans 18 and older are illiterate in 2022.

What country has the lowest adult literacy rate?

According to the UNESCO Institute for Statistics (UIS), the country with the lowest adult literacy rate (ages 15 and above) in 2021 is South Sudan, with an estimated literacy rate of 27%. This means that about 73% of adults in South Sudan are not able to read or write at a basic level.

Which country has the lowest adult literacy rate in the world?

Highlights: Lowest Literacy Rate State Statistics

South Sudan has the lowest literacy rate in the world at 27.04%. Southern Sudan has the lowest adult literacy rate at just 34.37%. Guinea has the second lowest adult literacy rate in the world at 30.4%. Afghanistan has the third lowest literacy rate globally, only 43%.

What percentage of adults are functionally illiterate?

14% of U.S. adults are considered “functionally illiterate.” 21% of adults in the U.S. read below a 5th-grade level. 19% of high school graduates in the U.S. can't read.

What percent of people in poverty are illiterate?

43% of adults at Level 1 skills (the lowest literacy proficiency) live in poverty compared to 4% of adults at Level 5 skills (the highest literacy proficiency) 90% of welfare recipients are high school dropouts. 2/3 of students who cannot read proficiently by the end of the 4th grade will end up in jail or on welfare.

Is there a lack of financial literacy?

There are millions of people who would benefit from better education and understanding around basic finances. In fact, it is estimated that in 2020, the lack of knowledge around finances cost U.S. adults $415 billion. The opposite of literate is illiterate.

What percentage of people are financially free?

SAN MATEO, Calif., Aug. 22, 2023 /PRNewswire/ -- Despite most Americans having modest expectations of what it means to attain financial freedom, just 1-in-10 (11%) report they are living their definition of financial freedom, according to a new survey by Achieve, the leader in digital personal finance.