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Cole12 December 24th, 2016 4:05pm

The personal savings rate in the US is an abysmal 5.7% of income. At the same time, Americans give more money to charity than people in almost any other country. Should Americans stop donating so much of their income and increase their savings rate?

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Casper Deep inthe Heart ofTexas
12/24/16 9:53 am

Doesn't it seem ironic that the savings rate is 5.7% but payroll taxes take some 15%, sales tax 8.5%, property tax varies but for many it's 20%+/-. Add in health insurance, food & auto.... 5.7% is a pretty good accomplishment.

For a lot of us there's nothing left after taxes & insurance.

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myob
12/24/16 10:08 am

The 5.7% doesn't reflect the people who have saved all their working lives and no longer have to save. It is a much larger number of folks than you think. If you want to have choices in this life you must save.

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Cole12 ...
12/24/16 10:03 am

No, this is all after-tax. For every $100 in after-tax income, the average American saves $5.70.

www.fool.com/investing/2016/10/03/heres-the-average-americans-savings-rate.aspx

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Cole12 ...
12/24/16 10:06 am

I'm not sure exactly how much Americans donate to charity, but we're considered the 2nd most generous country in the world: en.wikipedia.org/wiki/World_Giving_Index

See my link below for info on the savings rate.

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Casper Deep inthe Heart ofTexas
12/24/16 10:13 am

Clearly government confiscates more of our hard earned wages than is left over for ourselves.

If you could account for all the taxes paid over your lifetime it would most likely be much more than your net worth.

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Laserbeam Crazy bird lady
12/25/16 1:50 pm

If they're smart, yes. You shouldn't donate more than you save. Especially with the economic uncertainty we face.

DonWichita Kansas
12/24/16 4:37 pm

Don't stop donations, just increase savings.

LordSpartacus
12/24/16 9:49 am

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Squidboy Snarkapottamus
12/24/16 10:01 am

Do you have a source for this? I thought charitable giving in the US was around 3%....and I'm surprised the savings rate is that high. After the dum of all my taxes....the biggest line item on my budget is savings, charity is 3rd.

nekmor Round Rock TX
12/24/16 10:10 am

I think we should limit donations TO THE FEDERAL GOVERNMENT.

If Trump wants a second term he needs to enact spending and tax cuts to make our government fiscally sound and leaves the citizens enough money to be both savers and charitable

BLRW
12/24/16 9:19 am

I think that people should give some money to charity but sometimes the government should step in and help legitimate charities out.