Americans Spend 13x More Time Scrubbing Toilets Than on Financial Planning. Here's the Fix.

The average American spends less than two minutes a day on their finances, like budgeting, saving, investing, or retirement planning. That's less time than it takes to brew a cup of coffee, and 13 times less than the average American spends cleaning their home.

According to Bureau of Labor Statistics (BLS) data, only 2.7% of Americans do any financial planning on a given day, and that number has been falling for two decades.

For 1 in 4 Americans, the only thing that triggers financial planning is a financial stress event like an unexpected bill or a job loss, according to a Motley Fool Money survey of 2,000 U.S. adults in the United States. Simple steps, like opening a high-yield savings account or setting a monthly budget, can make a meaningful difference. The gap between what Americans know they should do and what they actually do is surprisingly easy to close.

How does the average American spend their time each day?

The average American logs nearly 10 hours a day on personal care, like sleeping and grooming, according to the latest BLS data.

Another 5-plus hours a day go to leisure activities, like reading, socializing, watching TV, playing sports, and exercising.

Work and work-related activities, like job searching and interviewing, claim over 3 hours per day.

Financial planning barely registers.

The average American spends 13 times more time cleaning their homes than managing their finances.

Leisure and sports consume more than 5 hours a day -- financial management gets 2 minutes.

Only 2.7% of Americans do any financial planning on a given day, fewer than those doing laundry or playing video games, each at 15%.

Banking and financial services engagement is even lower: roughly 1 minute per day across all Americans.

How much time do Americans spend on financial planning?

Among Americans who do engage in financial planning on a given day, they average about 1 hour and 4 minutes, per BLS data. But because the vast majority do none at all, the average across all Americans falls to under 2 minutes per day.

Time spent on financial planning among those who engage in it has held relatively steady at around 45-55 minutes over most of the past two decades, though that figure has ticked up in recent years, reaching roughly an hour in 2024.

How many Americans financially plan on a given day?

The share of Americans doing any financial planning on a given day has been falling for two decades. It has nearly halved since 2004, from 4.7% to 2.7%.

In the 2000s, more than 4% of Americans planned their finances on a typical day. That number is now below 3%. Use of professional financial services has declined even more sharply, from 4.2% in 2003 to 1.5% in 2024.

What drives American financial planning habits?

According to a Motley Fool Money survey of 2,000 adults, nearly half of Americans (46%) say they plan their finances on a regular schedule. But behavioral data from the Bureau of Labor Statistics tells a different story: only 2.7% of Americans do any financial planning on a given day.

Nearly 1 in 4 Americans engage in financial planning only when a crisis forces them to, such as a job loss, an unexpected bill, or an income disruption, per Motley Fool Money's survey. Crisis budgeting is most common among Gen X respondents (30%) and least common among Gen Z and millennials (21%). Baby boomers are most likely to engage in financial planning on a regular basis (50%), while Gen Z is most likely to do so when making a large purchase or investment (37%).

The financial pressure behind crisis budgeting

The fact that roughly a quarter of Americans plan their finances only under duress isn't surprising given the state of household finances.

Only 44% of Americans could cover a $400 emergency expense without using a credit card. Just 55% of Americans have three months of emergency savings -- that's down from 59%, according to Federal Reserve data.

Average monthly expenses grew by roughly $100 from 2023 to 2024, and average household debt continues to rise.

Financial planning by age and gender

Financial planning engagement varies significantly by age and gender, according to BLS data.

Engagement rises with age, from just 0.8% of Americans aged 15 to 24, to 2.3% of those 65 and older.

Retirement-age Americans have the most routine financial obligations, like fixed income, recurring bills, and required minimum distributions. Those obligations likely drive higher daily engagement.

Women are slightly more likely to engage in financial planning on a given day -- 3.0% vs. 2.4% for men.

An example financial planning checklist for getting started

Financial planning doesn't have to happen every day, but it should happen.

"Financial planning isn't just a one-and-done activity," said Amanda Kish, CFA, CFP®, Financial Planning Team Lead at The Motley Fool. "It requires dedicated time, and if you don't actually put it on your calendar, it's much less likely to actually happen. The first step is to establish a specific day and time when you're going to sit down and do the work of tracking your financial life."

The following framework is a starting point. It is for educational purposes only and is not personalized financial advice.

1. Define your goals

Write down one to three short-term goals -- things achievable within a year, like building a $1,000 emergency fund. Add two or three long-term goals, such as retirement or buying a home. Attach a dollar amount and a target date to each goal.

2. Track your spending and budget

List all monthly income after tax and then all fixed monthly expenses, like rent, subscriptions, and auto loan payments. Track variable spending for 30 days, including food, entertainment, and transportation. Identify at least one category where you can cut back.

3. Build an emergency fund

Calculate your monthly essential expenses, like rent, food, utilities, and insurance. Set a savings target of at least three to six months of those expenses, held in a dedicated high-yield savings account. Automate a monthly transfer to that account, even if the amount is small.

4. Calculate your net worth

Make a list of all of your assets (savings accounts, retirement plan, house) and all of your liabilities (credit card debt, student loans, mortgage). Your net worth is simply your assets minus your liabilities. It's okay if it's negative for now -- but part of improving your finances is understanding where you are today.

5. Tackle debt

List all debts with balances, interest rates, and minimum payments. Make at least the minimum payment on every account each month. Direct any extra funds toward the highest-interest debt first.

6. Start saving for retirement

Check whether your employer offers a 401(k) or similar retirement plan. If there's an employer match, contribute at least enough to capture it, if it fits your budget. Research whether a traditional IRA or Roth IRA might make sense for your situation.

7. Schedule a regular money check-in

Put a recurring "money hour" on your calendar, monthly at a minimum. Review spending against your budget, check progress toward your goals, and adjust as life changes.

8. Consider professional financial planning help

If planning feels overwhelming, look into fee-only financial advisors rather than commission-based ones. When evaluating credentials, CFP®, which stands for Certified Financial Planner, is a widely recognized benchmark.

Building routine is crucial, Kish added. "The key here is consistency and treating it like any other important appointment. If you're thinking, is this really something that I need to schedule? I'd say the answer is yes, because without that type of structure, financial tasks become these things that we can push off sometimes indefinitely."