Financial illiteracy remains a global challenge, as many countries, including the United States, are still falling short of expectations and struggle to increase their financial literacy rates despite growing economic complexities.
In fact, only 48% of U.S. adults are considered financially literate, a figure that has remained stagnant at around 50% over the past eight years.
So, what does this mean for individuals, policymakers, and educators aiming to improve financial outcomes?
Below, we explore over 30 key financial literacy statistics, covering global and U.S. trends, demographic disparities, state-by-state rates, and international comparisons that are shaping the financial education space.
How many people are financially literate?
Globally, only about 33% of adults are financially literate, meaning roughly 3.5 billion people lack basic financial knowledge.
In the United States, the numbers are slightly better, as approximately 49% of people are considered financially literate.
Over the past eight years, this figure has remained right around 50% and never exceeded 52%.
Here’s a look at the financial literacy rates in the US dating back to 2017:
| Year | Financial Literacy Rate |
|---|---|
| 2017 | 49% |
| 2018 | 50% |
| 2019 | 51% |
| 2020 | 52% |
| 2021 | 50% |
| 2022 | 50% |
| 2023 | 48% |
| 2024 | 48% |
| 2025 | 49% |
The lack of progress in the United States is concerning, as financial illiteracy contributes to significant economic and emotional costs.
For instance, the National Financial Educators Council (NFEC) found that Americans lost an average of $1,015 annually due to insufficient financial knowledge.
Additionally, a FINRA study found that 56% of U.S. adults experience financial anxiety, underscoring the broader impact of low financial literacy.
Sources: World Economic Forum, S&P Global, National Financial Educators Council, FINRA
Financial Literacy Rates by Demographic
Financial literacy varies significantly across demographic groups in the U.S., with age, gender, race, income, and education playing key roles.
Financial Literacy by Age
Older adults tend to be more financially literate than younger generations.
Baby Boomers (ages 51 and above) score the highest, with 59–78% considered financially literate, while Gen Z (ages 18–24) scores the lowest, at 36–42%.
Gen Z’s lack of confidence is evident, with 13% reporting they are not financially literate, compared to older groups.
Millennials (ages 25–34) show slightly better rates, with 31% feeling “very” financially literate.
Financial Literacy by Gender
Financial literacy rates differ significantly between men and women. Recent 2024 data revealed that women, on average, correctly answered 43% of financial literacy questions, compared to 53% for men.
This gender gap is consistent across studies, with women often scoring about 10 points lower than men. For example, only 10% of women scored in the top range (22–28 correct out of 28 questions), compared to 23% of men.
An Intuit survey also found that 55% of women wish they understood more about their finances but don’t know where to start, compared to 49% of men.
Financial Literacy by Race/Ethnicity
Similar to other demographics, financial literacy and overall financial education vary widely by race and ethnicity.
According to the latest TIAA data, Asian Americans and White Americans have the highest financial literacy rates at 53%.
Meanwhile, Hispanic Americans scored 43.3%, and Black Americans scored 38.3% in financial literacy.
These gaps reflect broader socioeconomic inequalities, with financial well-being also differing. 88% of Asian Americans and 81% of White Americans report being “OK or better” financially, compared to 71% of Hispanic Americans and 68% of Black Americans.
Pew Research study also found that 64% of Black Americans rate their financial situations as “fair or in poor shape,” rather than “excellent or in good shape.”
Financial Literacy by Income
According to the data, there’s a clear correlation between income level and financial literacy.
Those earning a household income of $100,000 or more have the highest financial literacy rate at 58%. On the other hand, households earning under $25,000 have the lowest financial literacy rate at 25%.
Below, we’ve highlighted the rates for each household income level in more detail.
| Household Income | Financial Literacy Rate |
|---|---|
| Less than $25,000 | 25% |
| $25,000 to $49,999 | 37% |
| $50,000 to $99,999 | 47% |
| $100,000 and more | 58% |
Financial Literacy by Education
Similar to income, the more educated an individual is, the higher their financial literacy rate tends to be.
Individuals with a college degree have an average financial literacy rate of 63%.
Individuals with less than a high school degree have an average financial literacy rate of 30%.
| Education Level | Financial Literacy Rate |
|---|---|
| Less than high school degree | 30% |
| High school degree | 35% |
| Some college | 48% |
| College degree | 63% |
Sources: TIAA Institute, Pew Research Center, Intuit
Financial Literacy Rates by Generation
Financial literacy varies significantly across generations in the U.S., with older generations generally demonstrating higher levels of knowledge than younger ones.
According to the TIAA Institute-GFLEC Personal Finance Index, two-thirds of Gen Z (ages 18–23) answered 50% or less of financial literacy questions correctly.
In comparison, only about 40% of Baby Boomers and the Silent Generation scored at this low level.
Below is a comparison of the financial literacy rates across five generations:
| Generation | Age Range (in 2021) | Financial Literacy Rate (>50% Correct) |
|---|---|---|
| Silent Generation | 76+ | ~60% |
| Baby Boomers | 57–75 | ~60% |
| Generation X | 41–56 | ~50–55% |
| Millennials (Gen Y) | 25–40 | ~45–50% |
| Generation Z | 18–23 | ~33% |
Sources: TIAA Institute
Financial Literacy by State
According to a recent study, Minnesota ranked as the most financially literate U.S. state.
This survey includes various data points, but the reason Minnesota ranked number one is that high school students are required to take at least one personal finance program.
Additionally, the state had the highest median credit score in the country at 751.
The table below shows the full results of the study, ranking each state by its financial literacy.
| Rank | State | Literacy Score (Out of 100) |
|---|---|---|
| 1 | Minnesota | 73 |
| 2 | Colorado | 69 |
| 3 | Nebraska | 69 |
| 4 | Virginia | 69 |
| 5 | Wisconsin | 68 |
| 6 | New Hampshire | 68 |
| 7 | Iowa | 67 |
| 8 | Washington | 67 |
| 9 | Vermont | 67 |
| 10 | New Jersey | 67 |
| 11 | Maryland | 67 |
| 12 | Florida | 66 |
| 13 | Utah | 66 |
| 14 | Pennsylvania | 65 |
| 15 | Maine | 65 |
| 16 | Michigan | 65 |
| 17 | Oregon | 65 |
| 18 | North Carolina | 65 |
| 19 | Ohio | 65 |
| 20 | Indiana | 65 |
| 21 | Missouri | 65 |
| 22 | Arizona | 64 |
| 23 | Massachusetts | 64 |
| 24 | Kansas | 64 |
| 25 | Connecticut | 64 |
| 26 | Delaware | 64 |
| 27 | North Dakota | 64 |
| 28 | West Virginia | 63 |
| 29 | Texas | 63 |
| 30 | Idaho | 63 |
| 31 | Rhode Island | 63 |
| 32 | Illinois | 62 |
| 33 | Georgia | 62 |
| 34 | Wyoming | 62 |
| 35 | New York | 61 |
| 36 | Nevada | 61 |
| 37 | South Carolina | 61 |
| 38 | Montana | 60 |
| 39 | New Mexico | 60 |
| 40 | Alabama | 60 |
| 41 | Hawaii | 60 |
| 42 | District of Colombia | 58 |
| 43 | California | 58 |
| 44 | Alaska | 58 |
| 45 | Louisiana | 58 |
| 46 | Mississippi | 58 |
| 47 | Tennessee | 58 |
| 48 | Kentucky | 57 |
| 49 | South Dakota | 56 |
| 50 | Oklahoma | 54 |
| 51 | Arkansas | 53 |
Sources: WalletHub
Financial Literacy Rates by Country
Globally, financial literacy rates vary widely, reflecting differences in education systems and economic development.
Denmark, Norway, and Sweden have the highest financial literacy rates at 71%. Closely behind are Canada and Israel at 68%.
Here’s a complete list of the top 10 countries ranked by financial literacy rate:
| Country | Financial Literacy Rate |
|---|---|
| Denmark | 71% |
| Norway | 71% |
| Sweden | 71% |
| Canada | 68% |
| Israel | 68% |
| United Kingdom | 67% |
| Germany | 66% |
| Netherlands | 66% |
| Australia | 64% |
| Finland | 63% |
Sources: S&P Global
Key Takeaways
This wraps up our list of the top financial literacy stats and trends.
You’ll notice that globally there is major room for improvement for an educational standpoint.
Hopefully in the future as the next generation gets older, so does the financial literacy rates. Technology should help grow these numbers in the longterm.
This list will continue to be updated regularly, so be sure to check back for more financial literacy trends.