BMO Harris Bank Study

Florida Parents Below National Average in Saving for Financial Emergency - Seite 2

Savings for Medical Costs Need Regular Check-Ups Too

The survey also examined the savings needed to cover medical costs. A majority (81 percent) of parents in Florida said the cost of healthcare is one of their financial concerns. Parents said they spend an average of $7,730 in medical expenses during their child's first year, with most covered by insurance. The average for out-of-pocket medical expenses for a child in their first year was $1,906, but nearly half (45 percent) said they don't know how much they spent.

The survey showed what aspects of healthcare parents and soon-to-be parents in Florida are most concerned about:

Healthcare Cost		Parents		Future Parents
Medical Insurance		65%		68%
Hospital Bills		62%		69%
Prescription Drugs		55%		48%
Regular doctor check-ups		49%		63%
Vaccines/Inoculations		42%		55%

At the national level the study revealed:

• American parents have an average of $9,737 saved for an emergency
• Future parents have an average of $5,523 set aside
• Average spend on medical costs is $9,676, with $1,297 of that being out-of-pocket
• The most common costs were the need to buy a car or upgrade to a larger vehicle (49 percent), increased utility/energy bills (46 percent) and taking time off work (43 percent).

"As the economy continues to improve this year, particularly on the jobs front, it will help fuel personal income growth. This, along with a steady 4.5 percent savings rate, will result in rainy day savings building up more quickly, but this should not be a call to reduce the savings rate. It would be prudent to keep saving at the same pace, redirecting the flow to help finance future big-ticket outlays, paying down debt or saving for retirement," added Mr. Gregory.