Fiscally Fit Cities Report
State Farm Insurance and BestPlaces have released the Fiscally Fit Cities Report revealing that fewer than half of American households are taking proper steps today to prepare for a secure financial future. The first study of its kind, the report provides a "check-up" of consumer personal financial health, city-by-city.
The report measures citizens in 50 metro areas on total Fiscal Fitness with Salt Lake City topping the list. Fiscal Fitness was defined by investments, quality of life and life insurance coverage. Twenty-seven criteria were analyzed that demonstrate the steps Americans are taking today to prepare for tomorrow.
Top Ten Fiscally Fit Cities
1. Salt Lake City, Utah|
2. Portland, Ore.
3. Tampa-St. Petersburg-Clearwater, Fla.
4. Pittsburgh, Pa.
5. Orlando, Fla.
6. Minneapolis-St. Paul, Minn.|
7. Fort Lauderdale, Fla.
8. Seattle-Bellevue-Everett, Wash.
9. Indianapolis, Ind.
10. Phoenix-Mesa, Ariz.
Complete list of 50 cities in the study.
Find more rankings in Cities Ranked and Rated, a new book by Bert Sperling.
Life Insurance Lacking
Although the top ten cities rank high comparatively in retirement investments, quality of life and life insurance coverage, the report finds significant areas of vulnerability and gaps of coverage in financial planning. In particular, none of the cities claimed higher than 47 percent of households with life insurance.
“The findings of the Fiscally Fit Cities Report reveal that citizens in the top ten cities are moving in the right direction to protect their assets with short-and long–term investments,” said Susan Waring, senior vice president and chief administrative officer of State Farm Life. “What is missing in many households across America is a holistic approach to personal finance including life insurance coverage – which keeps families from having to tap into savings in the case of an unforeseen death, ensuring a brighter future for the surviving family,” continued Waring.
Deep Pockets, Shallow Planning
Another surprising finding was that areas with high household incomes are not saving money and protecting assets as well as other communities. Of the top ten Fiscally Fit Cities, only Minneapolis – St. Paul is in the top ten of median household income. However, Orlando, Ft. Lauderdale, Tampa and Pittsburgh ranked high in Fiscal Fitness despite their ranking in the bottom quarter of median household income in the top 50 metro areas.
“This study does not follow the popular belief that the ‘rich get richer,’” said Bert Sperling, president of Sperling’s BestPlaces. “Wealthier areas tend to spend more on real estate and are less disciplined in saving money and purchasing life insurance to protect their future relative to more average income cities.”More information: Complete list, Methodology