Nearly Two-Thirds of Americans Have Low Levels of Financial Literacy

1.

Entering the Workforce

Don't become a statistic. Only half of young workers age 25-29 have a retirement account.ⁱⁱ It's never too early to start identifying and prioritizing financial goals. If an employer offers a retirement program, young adults can start growing their tax-deferred retirement savings now; if the employer offers a match, they can take advantage of an additional growth opportunity.  

2.

Starting a Family

As soon as a couple starts thinking about welcoming a child, they should review their life insurance protection. While they may already have some coverage through work, that may not be enough, and if one parent chooses to leave work, that coverage will probably go away. They should at least have enough to cover income for eight to 12 years if a parent passes away.

Single parents take their financial stability even more seriously. With only one income, they're focused on finding a balance between protecting what matters most and saving for the future. Many experts, including Allstate agents and financial specialists, offer free financial reviews to ensure they're on the right financial path.

3.

Planning for Retirement

Protecting what retirees have and planning for unexpected expenses is critical, especially if they want to pass on a legacy to children or grandchildren. To help reach their retirement goals, retirees need to review their retirement income plan at least once per year and ensure they have the right mix of investments to make retirement last.

Strategies such as boosting pre-retirement savings, working longer or delaying Social Security payments can all help decrease the likelihood of a shortfall. Another good idea is to consider earmarking guaranteed retirement income streams, such as Social Security and pensions, toward essential expenses. The funds designated for discretionary spending can be invested in assets with greater market exposure and opportunity for growth, such as stocks, Exchange Traded Funds (ETFs) or mutual funds.  

4.

Losing a Loved One

In addition to a life insurance policy that provides a lump sum payment, Allstate also offers Monthly Income Term, a life insurance policy that pays out like a monthly paycheck if a loved one passes away. This consumer-driven offering makes it easier for those on a budget to protect their families and standard of living.