Are more American households able to cover a small unexpected expense?
Core argument: In 2018, 61% of U.S. adults could cover a $400 unexpected expense with cash, savings, or a credit card paid off at the next statement, up 2 percentage points from 2017 and from 50% in 2013.
In 2018, 61% of U.S. adults could cover a $400 unexpected expense using cash, savings, or a credit card paid off at the next statement, marking a 2% increase from 2017 and a significant rise from 50% in 2013. Despite this improvement, 12% of adults would be unable to pay such an expense by any means, highlighting ongoing financial vulnerability. The report also notes that 76% of households had $400 in liquid assets, yet some may opt to borrow to preserve cash for other needs. Among those struggling to cover the expense, common strategies include carrying a credit card balance or borrowing from friends or family. This data underscores the mixed financial resilience among U.S. households, with a notable portion still facing challenges in managing modest unexpected costs.






