Americans Say Money Isn’t Buying Happiness, Even as Savings Shrink, Finds KeyBank Survey

CLEVELAND, January 23, 2024 /3BL/ — The KeyBank 2024 Financial Mobility Survey finds that a resounding 66% of Americans would rather work a job they love with a lower paying salary than work a job they hate with a higher paying salary (34%). Simultaneously, a quarter of Americans say they’re spending more and saving less, up from years prior (15% in 2022 and 13% in 2021), and 60% believe we are in or will soon be in a recession—pointing to an environment in which Americans are prioritizing happiness while bracing for economic challenges.

In fact, nearly one third (30%) of survey respondents say they feel daily financial stress related to the cost of living in America, and more than half (59%) are cutting back on nonessential items due to the increasing cost of living. To add, more people would rather share their recent Google search history (57%) than their monthly credit card statement (43%). Still, when asked what ‘Thriving in America’ means to them, 42% chose work life balance.

The survey polled more than 1,000 Americans on their financial, life and work-related priorities and outlook after a year of market volatility and uncertainty. To learn more about the survey’s findings, review the KeyBank 2024 Financial Mobility Survey Executive Summary here.

“We all want to feel fulfilled, and our survey shows that Americans are prioritizing their happiness and personal life over money—but facing inflation, societal shifts and economic uncertainty, many remain concerned about their financial futures,” said Daniel Brown, EVP & Director, Consumer Product Management at KeyBank. “As the everyday cost of living increases, many of us will have to make critical lifestyle and financial decisions in the year ahead for not only ourselves, but also our households—balancing our lives outside of work with our financial needs and habits for the long term.”

As Americans focus on their personal well-being, many are in favor of a “soft-life culture” that defines success based on happiness, contentment, and fulfillment vs. “hustle culture,” which defines success based on wealth, status, and achievement (36% and 28% respectively). Yet, 56% of Gen Z respondents say they currently identify most with a hustle culture—highlighting a generational gap in experiences and priorities.

Highlights include:

• Work-life balance is increasingly important. Continuing a trend seen year over year, more Americans say they value work-life balance (63%) over a high-paying salary (27%), compared to 57% and 33% respectively in 2022.
• Half (51%) of Americans have pulled more money from their savings this year than before. More than three in four (77%) of respondents across all generations believe the cost of living in America has gotten worse, with Boomers leading that feeling (92%).
• Millennials and Gen Xers are more likely to anticipate a recession in 2024. Of respondents that expect to be in a recession in the next 12 months, more than half (57%) are Millennials or Gen X.
• Women (35%) are more likely than men (24%) to feel financial stress related to the cost of living in American on a daily basis.
• Americans are making financial changes to achieve the dream of homeownership. Of those who are in the market for a home, the top step taken to save money for a home is to put away money in a dedicated savings account (43%). Still, 29% of Americans do not own a home and do not plan on purchasing one in the next 12 months. Of those respondents, only 1 in 10 indicate that home ownership is very attainable.

As Americans increasingly aim to strike a balance between professional success, personal fulfillment, and overall financial well-being, KeyBank is here to support them on their journeys. Consumers can access online resources designed to enhance financial confidence and savvy, from the Financial Wellness Center’s Banking 101 curriculum, to the option to schedule a Financial Wellness Review to better understand your financial situation and chart the best path forward.

Methodology

This survey was conducted online by Schmidt Market Research. 1,000 Americans, ages 18-70, with sole or shared responsibility for household financial decisions, who own a checking or savings account, completed the survey in September 2023. The survey asked respondents about their financial attitudes, understanding, awareness and actions over the prior year.

About KeyCorp

KeyCorp's (NYSE: KEY) roots trace back nearly 200 years to Albany, New York. Headquartered in Cleveland, Ohio, Key is one of the nation's largest bank-based financial services companies, with assets of approximately $188 billion at December 31, 2023.

Key provides deposit, lending, cash management, and investment services to individuals and businesses in 15 states under the name KeyBank National Association through a network of approximately 1,000 branches and approximately 1,200 ATMs. Key also provides a broad range of sophisticated corporate and investment banking products, such as merger and acquisition advice, public and private debt and equity, syndications and derivatives to middle market companies in selected industries throughout the United States under the KeyBanc Capital Markets trade name. For more information, visit https://www.key.com/. KeyBank is Member FDIC.

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