How people tackle their finances can vary but, according to new research from PYMNTS, there are two ways that are most common.<\/p>\n
PYMNTS found just 40% of American consumers are “planners,” meaning their strategy<\/a> for money had more foresight.\u00a0<\/p>\n That figure has gone down compared to the roughly half who tackled their personal finances that way in February of last year,\u00a0according to the outlet<\/u><\/a>.\u00a0<\/p>\n Meanwhile, for 60% of consumers, financial matters are dealt with as they come, earning them the moniker “reactors,” PYMNTS reported.\u00a0<\/p>\n CLICK HERE TO READ MORE ON FOX BUSINESS<\/strong><\/a><\/p>\n For the former, they tended to have at least $2,500 saved and keep their credit card balances below $2,000 on average, as well as make regular payments on their balances, according to the outlet.\u00a0<\/p>\n The latter typically amassed higher balances<\/a> and had lower amounts of savings, per PYMNTS. They also reported taking care of their credit card balances less frequently.\u00a0<\/p>\n The drop in “planners” could mean consumers are feeling more pain<\/a> in their wallets, according to PYMNTS.\u00a0<\/p>\n The two groups typically had different priorities when it came to money, with retirement being front of mind for many so-called “planners” and knocking down debt being a focus for “reactors,” per the outlet.\u00a0<\/p>\n A separate report released earlier this month by Fidelity Investments found the average 401(k) account balance in the first quarter was $127,100, while the balances for IRA and 403(b) accounts averaged $121,983 and $115,424, respectively.<\/p>\n RETIREMENT ACCOUNT BALANCES DIP IN 1ST QUARTER, BUT SAVERS KEEP CONTRIBUTING<\/strong><\/a><\/p>\n Northwestern Mutual found in mid-April that Americans think they need $1.26 million saved to retire “comfortably.”\u00a0<\/p>\n PYMNTS reported that nearly one-third of financially-reactive consumers reportedly identified reducing their debt as a top priority.\u00a0<\/p>\n Americans collectively had $18.2 trillion in debt as of the first quarter of the year, according to the Federal Reserve Bank of New York.\u00a0<\/p>\n For the other type of consumer, investments and savings accounted for 12% of what they financially allocated for themselves on a monthly basis, PYMNTS also reported.<\/p>\n