Coping with an Unexpected Financial Challenge: An …...Coping with an Unexpected Financial...

AARP RESEARCH | AARP.ORG/RESEARCH | © 2019 AARP. ALL RIGHTS RESERVED

Coping with an Unexpected Financial Challenge: An AARP Survey of Adults 30+

Annotated Questionnaire

Conducted by NORC at the University of Chicago for AARP https://doi.org/10.26419/res.00343.002

Interviews: 09/04-09/19/2019 1,697 adults

Margin of error: 3.51 percentage points at the 95% confidence level among all adults

NOTE: All results show percentages among all respondents, unless otherwise labeled. Percentages may not always sum to 100%.

"*" indicates less than 1% "-" indicates 0%

Coping with an Unexpected Financial Challenge: An AARP Survey of Adults 30+ 2

Q1. In the past 12 months, did you, an immediate family member or someone else in your household experience an unexpected financial challenge that caused a significant strain in your budget or your ability to pay your bills?

NORC 09/04-09/19/2019

Yes 100

No -

Don’t Know -

SKIPPED ON WEB - N=1697

Q2. In the past 12 months, how many unexpected financial challenges have you experienced that

caused a significant strain on your budget or your ability to pay your bills?

NORC 09/04-09/19/2019

Only one 44

More than one 56


Q3. What was the reason for your financial challenge?

NORC 09/04-09/19/2019 Yes No SKIP

A large expense (e.g., medical, educational, tax, caregiving, etc.)

61 35 4

A loss of income (e.g., loss of a job, fewer work hours, etc.)

46 46 7

You or someone in your household separated, divorced or was widowed from a spouse or partner

13 77 10

Other (please specify) 20 63 18 N=1697


If the reason for financial challenge was a large expense (e.g., medical, educational, tax, caregiving, etc.) Q4. Specifically, what was the large expense that caused your financial challenge?

[RESPONSE OPTIONS RANDOMIZED]

NORC 09/04-09/19/2019

Medical expense 33

Educational expense 7

Caregiving expense 7

Legal expense 3

Tax bill 5

A necessary repair (e.g., home, auto, etc.) 32

Other (please specify) 14


Q5. Approximately, how much, in total, did your financial challenge cost your household?

NORC 09/04-09/19/2019

Less than $400 3

$400 to less than $1,000 16

$1,000 to less than $2,000 16

$2,000 to less than $3,000 12

$3,000 to less than $4,000 9

$4,000 to less than $5,000 7

$5,000 to less than $10,000 15

$10,000 to less than $20,000 10

$20,000 and above 12

SKIPPED ON WEB * N=1697

Q6. When did your financial challenge occur?

NORC 09/04-09/19/2019

Less than a month ago 13

A month to less than 3 months ago 26

3 months to less than 6 months ago 22

6 months to less than 9 months ago 15

9 months to 12 months ago 23



Q7. How did the financial challenge make you feel? (Please include up to three emotions or feelings that you experienced because of your financial challenge).

[OPEN-ENDED RESPONSE]



Q8. Did your financial challenge make it harder for your household to make ends meet for a while?

NORC 09/04-09/19/2019

Yes 89

No 11


If financial challenge made it harder for household to make ends meet for a while Q9. How long after your financial challenge did it take your household’s finances to get back to usual?

NORC 09/04-09/19/2019

Within a week 1

More than a week, but within a month 7

More than a month, but within 3 months 20

More than 3 months, but within 6 months 12

More than 6 months but within 9 months 6

More than 9 months but within 12 months 4

My household finances are still not back to normal 50


If household finances are still not back to normal Q9A. When do you think your household’s finances will get back to usual?

NORC 09/04-09/19/2019

Within 6 months 21

More than 6 months, but within a year 22

More than a year but within 5 years 19

More than 5 years 6

Never 2

Don’t know 30



Q10. How much stress, if any, have you felt because of your financial challenge? [RESPONSE OPTIONS ROTATED]

NORC 09/04-09/19/2019

None at all *

A little 10

Some 30

A lot 60


Q11. Did you go on the Internet to find ideas, available options and/or resources to help you with

your financial challenge?

NORC 09/04-09/19/2019

Yes 46

No 50

Don’t remember 4

SKIPPED ON WEB 1 N=1,697

If went on the internet to find help with financial challenge Q11A. Overall, how helpful were the ideas, available options and/or resources that you found online?

NORC 09/04-09/19/2019

Very helpful 8

Somewhat helpful 41

Not too helpful 39

Not at all helpful 12


If online help was very helpful, somewhat helpful, not too helpful, or not at all helpful Q11B. Please explain why the ideas, available options and/or resources that you found were [very

helpful/somewhat helpful/not too helpful/ not at all helpful].



Q12. Did you do any of the following to help with your financial challenge?

[GRID ITEMS RANDOMIZED]

NORC 09/04-09/19/2019 Yes No SKIP

Use a credit card 52 46 1

Withdraw money from a bank checking or savings account 64 35 2

Pay some or all of the cost with cash 51 47 2

Use a bank loan or line of credit 22 76 2

Borrow from a friend or family member 40 58 2

Use a payday loan, auto-title loan, or pawn shop loan 14 83 3

Sell something 42 56 2

Seek the aid of a charity or non-profit organization 16 82 2

Seek financial assistance using a crowdfunding site (e.g., GoFundme)

5 92 3

Ask your employer for a loan, pay advance, or other assistance

7 90 2

File for bankruptcy 3 94 3

Use money from a long-term savings or investment account 31 67 3

Tap home equity (e.g. refinance your mortgage, take out a home equity loan or line of credit)

7 91 2

Delay paying one or more bills 62 36 2

Cut back on expenses 91 8 1

Work extra hours or take other actions to increase or supplement your household income

49 49 2

Ask for an affordable payment plan or a reduction in amount owed

37 61 3

Other (please specify) 6 84 10 N=1697

If used a credit card to help with financial challenge Q13. You stated that you used a credit card to help with your financial challenge. When you received

your next credit card bill, did you pay off the full amount you used for your financial challenge?

NORC 09/04-09/19/2019

Yes 21

No 80



If did not pay off the full credit card amount used for financial challenge on next credit card bill Q13A. Are you still paying off the amount you used on your credit card to help with your financial

challenge?

NORC 09/04-09/19/2019

Yes 90

No 10


If used money from a long-term savings or investment account to help with financial challenge Q14. You stated that you took money from a long-term savings or investment account to help with

your financial challenge. Was it…?

NORC 09/04-09/19/2019 Yes No SKIP

A retirement savings account like a 401k or IRA? 48 51 2

Some other type of investment account, like a brokerage or money market account?

33 65 1

N=569 If did not use some options to help with financial challenge Q15. Which of the following, if any, did you consider doing, even briefly and even though you did not

do it, to help with your financial challenge?

[MULTIPLE RESPONSE] [ONLY OPTIONS NOT USED SHOWN TO RESPONDENTS]

NORC 09/04-09/19/2019

Use a credit card 12

Withdraw money from a bank checking or savings account 5

Pay some or all of the cost with cash 8

Use a bank loan or line of credit 18

Borrow from a friend or family member 14

Use a payday loan, auto-title loan, or pawn shop loan 10

Sell something 20

Seek the aid of a charity or non-profit organization 6

Seek financial assistance using a crowdfunding site (e.g., GoFundme)

7

Ask your employer for a loan, pay advance, or other assistance 6

File for bankruptcy 9

Use money from a long-term savings or investment account 11


Tap home equity (e.g. refinance your mortgage, take out a home equity loan or line of credit)

10

Delay paying one or more bills 8

Cut back on expenses 2

Work extra hours or take other actions to increase or supplement your household income

7

Ask for an affordable payment plan or a reduction in amount owed

9

None of the above 26

SKIPPED ON WEB 1 N=1686

Q16. Below is a list of strategies people may use when dealing with a tough situation. Please think

about your feelings, thoughts and actions during your financial challenge and indicate the extent to which you have used any of these at any time in dealing with your financial challenge.


NORC 09/04-09/19/2019

Not used or does

not apply

Used somewhat

Used quite a

bit

Used a great deal

SKIP

I made a plan of action and followed it 14 32 31 22 1

I just concentrated on what I had to do next—the next step

6 26 33 35 1

I came up with a couple of different solutions to the problem

17 39 28 15 1

I drew on my past experiences; I was in a similar situation before

30 35 21 13 1

I tried not to act too hastily or follow my first hunch

26 35 25 13 1

I tried to keep my feelings from interfering with other things too much

12 34 32 21 1

I thought about how a person I admire would handle the situation and used that as a model

55 24 13 7 1

I kept others from knowing how bad things were

20 30 24 25 1

I tried to keep my feelings to myself 17 35 22 25 1

I looked for the silver lining, so to speak; I tried to look on the bright side of things

17 35 26 21 1

I rediscovered what was important in life 27 30 25 17 1

I criticized or lectured myself 39 29 16 15 1

I changed something about myself 41 33 16 10 1

I made a promise to myself that things would be different next time

30 30 20 19 1


I realized I brought the problem on myself 54 22 10 13 1

I expressed anger to the person who caused the problem

66 20 7 6 1

I took a big chance or did something very risky 69 20 6 4 1

I did something which I didn’t think would work, but at least I was doing something

51 29 13 6 2

I made light of the situation; refused to get too serious about it

45 38 10 6 1

I didn’t let it get to me; I refused to think about it

36 41 14 8 1

I went on as if nothing happened 43 34 13 8 1

I talked with someone about how I was feeling 32 40 16 11 1

I asked a relative or friend I respected for advice

44 29 14 12 1

I talked to someone who could do something concrete about the problem

54 25 13 8 1

I prayed 24 20 14 41 1

I tried to make myself feel better by eating, drinking, smoking, taking medications, watching tv, etc.

49 28 12 10 1

I avoided being with people, in general 51 24 12 11 1

I hoped a miracle would happen 35 22 16 26 1 N=1697

Q17. Looking back over the last 12 months as a whole, how much stress have your finances caused

you?

[RESPONSES ROTATED]

NORC 09/04-09/19/2019

None at all 2

A little 19

Some 36

A lot 43



Q18. Does your household use a budget or any other type of plan to track and manage your spending?

NORC 09/04-09/19/2019

Yes 61

No 35

Don’t know 4


Q19. Does your household have any money set aside that you consider savings for emergencies or a

rainy day?

NORC 09/04-09/19/2019

Yes 47

No 51

Don’t know 2


FI0024. Right now, are you (and the members of your family) saving for any of the following things?

[MULTIPLE RESPONSE]

NORC 09/04-09/19/2019

To invest or get ahead 21

To help family or children 20

For retirement 33

To have funds for emergencies or a rainy day 44

A major purchase, including a home or vehicle 18

Upcoming educational expenses (school or college) 9

For your heirs as an inheritance 6

No particular reasons 13

Other (specify) 3

Not currently saving for anything 25



FI0023. Which of the following best describes your saving habits?

NORC 09/04-09/19/2019

Don’t save, usually spend more than income 12

Don’t save, usually spend about as much as income 28

Save whatever is left over at the end of the month 32

Save regular income of one family member, spend the other 4

Spend regular income, save other income 4

Save regularly by intentionally putting aside money each month 19


Q22. Thinking about your household’s longer-term financial goals such as saving for a vacation,

starting a business, buying or paying off a home, saving up for education, putting money away for retirement, or making retirement funds last… How confident are you that your household is currently doing what is needed to meet your longer-term financial goals?

[RESPONSE OPTIONS ROTATED]

NORC 09/04-09/19/2019

Not at all confident 24

Not too confident 29

Somewhat confident 36

Very confident 10


Q23. Overall, how satisfied are you with your current financial situation?


NORC 09/04-09/19/2019

Not at all satisfied 27

Not too satisfied 33

Somewhat satisfied 35

Very satisfied 4



Q24. At your current level of spending, how long could you and your household afford to cover expenses, if you had to live only off the money you have readily available, without withdrawing money from retirement accounts or borrowing?


NORC 09/04-09/19/2019

Less than 1 week 14

More than 1 week but less than 1 month 21

1 - 2 months 27

3 - 5 months 16

6 months or more 21


Q25. Thinking about all of your household’s current debt, including mortgages, bank loans, student

loans, money owed to people, medical debt, past-due bills, and credit card balances that are carried over from prior months. As of today, which of the following statements describes how manageable your household debt is?


NORC 09/04-09/19/2019

Do not have any debt 7

Have a manageable amount of debt 42

Have a bit more debt than is manageable 33

Have far more debt than is manageable 18


FI0027. If you need it, how much financial help could you expect from your family?

NORC 09/04-09/19/2019

All the help I needed 29

Most of the help I needed 36

Very little of the help I needed 24

No help at all 10



Q27. How would you rate your credit score? Your credit score is a number that tells lenders how risky or safe you are as a borrower.


NORC 09/04-09/19/2019

Poor 21

Fair 21

Good 21

Very Good 15

Excellent 19

Don’t know 3


Q28. About how many credit cards do you currently have, including those that you are actively using

and those that you are not actively using?

NORC 09/04-09/19/2019

0 22

1-2 35

3-4 26

5 or more 18


If has one or more credit cards Q29 Thinking of the credit card(s) that you use most often, how much of the balance do you typically

pay each month?


NORC 09/04-09/19/2019

Less than the minimum amount 3

The minimum amount 26

Less than the full amount, but more than the minimum 43

The full amount 25

I don’t know 2



FI0022A. Which of the following do you use to manage your finances?

[MULTIPLE RESPONSE]

NORC 09/04-09/19/2019

Bank teller 40

ATM/Kiosk 43

Telephone banking (phone call or automated voice/touch tone)

20

Mobile phone banking (text messaging, phone internet browser, mobile app, or email)

51

Online banking through desktop, laptop, or tablet computer (e.g., Ipad)

60

Other (Specify) 3

None of the above 8


FI0022ANEW. What is the most common way that you manage your finances?

[ONLY FINANCIAL MANAGEMENT OPTIONS SELECTED AT FI0022A SHOWN TO RESPONDENTS]

NORC 09/04-09/19/2019

Bank teller 10

ATM/Kiosk 7

Telephone banking (phone call or automated voice/touch tone)

5

Mobile phone banking (text messaging, phone internet browser, mobile app, or email)

30

Online banking through desktop, laptop, or tablet computer (e.g., Ipad)

38

Other (Specify) 2

None of the above 8



Q32. Are you (and/or your spouse) a member of any of the following groups or organizations?


NORC 09/04-09/19/2019 Yes No SKIP

AARP 21 79 1

AAA 25 74 1

The National Rifle Association (NRA) 9 90 1 N=1697

Q33. How would you describe your political views? Would you say they are…


NORC 09/04-09/19/2019

Very liberal 9

Somewhat liberal 13

Moderate 36

Somewhat conservative 20

Very conservative 11

Don’t know 12


C1. Where were you born?

NORC 09/04-09/19/2019

In the United States 91

Outside of the United States 9


SURV_LANG. Survey interview language

NORC 09/04-09/19/2019

English 98

Spanish 2 N=1697


SURV_MODE. Survey interview mode

NORC 09/04-09/19/2019

Online 100

Phone - N=1697

DEVICE. Device

NORC 09/04-09/19/2019

Desktop 36

Smartphone 61

Tablet 3

Unknown * N=1697

GENDER. Gender

NORC 09/04-09/19/2019

Male 46

Female 54 N=1697

AGE4. Age – 4 categories

NORC 09/04-09/19/2019

30-44 41

45-59 35

60+ 24 N=1697


AGE7. Age – 7 categories

NORC 09/04-09/19/2019

30-34 19

35-44 22

45-54 23

55-64 22

65-74 12

75+ 3 N=1697

RACETHNICITY. Combined race/ethnicity

NORC 09/04-09/19/2019

White, non-Hispanic 59

Black, non-Hispanic 16

Other, non-Hispanic 4

Hispanic 16

2+, non-Hispanic 4

Asian, non-Hispanic 3 N=1697

EDUC. Education (highest degree received)

NORC 09/04-09/19/2019

No formal education *

1st, 2nd, 3rd, or 4th grade *

5th or 6th grade 1

7th or 8th grade 1

9th grade 1

10th grade 2

11th grade 2

12th grade, no diploma 6

High school graduate – high school diploma or equivalent (GED)

34

Some college, no degree 18

Associate degree 10

Bachelor’s degree 15

Master’s degree 9

Professional or doctorate degree 2 N=1697


EDUC4. 4-level education

NORC 09/04-09/19/2019

No high school diploma 13

High school graduate or equivalent 34

Some college 28

Bachelor’s degree or above 26 N=1697

MARITAL. Marital status

NORC 09/04-09/19/2019

Married 49

Widowed 5

Divorced 15

Separated 3

Never married 17

Living with partner 11 N=1697

EMPLOY. Current employment status

NORC 09/04-09/19/2019

Working (NET) 62

Working – as a paid employee 53

Working – self-employed 9

Not working (NET) 39

Not working – on temporary layoff from a job 1

Not working – looking for work 5

Not working – retired 13

Not working – disabled 12

Not working – other 8 N=1697


INCOME. Household income

NORC 09/04-09/19/2019

Less than $50,000 (NET) 53

Less than $5,000 3

$5,000 to $9,999 3

$10,000 to $14,999 5

$15,000 to $19,999 5

$20,000 to $24,999 7

$25,000 to $29,999 8

$30,000 to $34,999 6

$35,000 to $39,999 5

$40,000 to $49,999 11

$50,000 or more (NET) 48

$50,000 to $59,999 10

$60,000 to $74,999 10

$75,000 to $84,999 5

$85,000 to $99,999 7

$100,000 to $124,999 7

$125,000 to $149,999 5

$150,000 to $174,999 2

$175,000 to $199,999 1

$200,000 or more 1 N=1697

REGION4. Region – 4 level

NORC 09/04-09/19/2019

Northeast 17

Midwest 19

South 42

West 22 N=1697


REGION9. Region – 9 level

NORC 09/04-09/19/2019

New England 3

Mid-Atlantic 14

East North Central 14

West North Central 5

South Atlantic 21

East South Central 7

West South Central 15

Mountain 8

Pacific 14 N=1697

STATE. State of residence

NORC 09/04-09/19/2019

AK Alaska *

AL Alabama 2

AR Arkansas 1

AZ Arizona 2

CA California 12

CO Colorado 2

CT Connecticut 1

DC District of Columbia *

DE Delaware 1

FL Florida 5

GA Georgia 4

HI Hawaii *

IA Iowa 1

ID Idaho 1

IL Illinois 3

IN Indiana 3

KS Kansas 1

KY Kentucky 1

LA Louisiana 2

MA Massachusetts 1

MD Maryland 2

ME Maine 1

MI Michigan 2

MN Minnesota 1

MO Missouri 1


MS Mississippi 1

MT Montana *

NC North Carolina 4

ND North Dakota *

NE Nebraska 1

NH New Hampshire *

NJ New Jersey 4

NM New Mexico 1

NV Nevada 1

NY New York 6

OH Ohio 5

OK Oklahoma 1

OR Oregon 1

PA Pennsylvania 4

RI Rhode Island *

SC South Carolina 2

SD South Dakota *

TN Tennessee 3

TX Texas 11

UT Utah 1

VA Virginia 2

VT Vermont *

WA Washington 1

WI Wisconsin 2

WV West Virginia 1

WY Wyoming * N=1697

METRO. Metropolitan area flag

NORC 09/04-09/19/2019

Non-metro area 17

Metro area 83 N=1697

INTERNET. Household internet access

NORC 09/04-09/19/2019

Non-internet household 13

Internet household 87 N=1697


HOUSING. Home ownership

NORC 09/04-09/19/2019

Owned or being bought by you or someone in your household

64

Rented for cash 33

Occupied without payment of cash rent 4 N=1697

HOME_TYPE. Type of building of panelists’ residence

NORC 09/04-09/19/2019

A one-family house detached from any other house 64

A one-family house attached to one or more houses 10

A building with 2 or more apartments 21

A mobile home or trailer 6

Boat, RV, van, etc. * N=1697

PHONESERVICE. Telephone service for the household

NORC 09/04-09/19/2019

Landline telephone only 6

Have a landline, but mostly use cellphone 27

Have a cellphone, but mostly use landline 11

Cellphone only 55

No telephone service 1 N=1697

HHSIZE. Household size (including children)

NORC 09/04-09/19/2019

1 14

2 29

3 15

4 14

5 9

6+ 19 N=1697


HH01. Number of HH members age 0-1

NORC 09/04-09/19/2019

0 98

1 2

2 0

3 0 N=1697


NORC 09/04-09/19/2019

0 87

1 8

2 3

3 1

4 1

5 * N=1697


NORC 09/04-09/19/2019

0 79

1 9

2 8

3 2

4 1

5 1

6 *

7 *

8 *

9 -

10 - N=1697



NORC 09/04-09/19/2019

0 81

1 10

2 5

3 2

4 1

5 1 N=1697

HH18OV. Number of HH members age 18+

NORC 09/04-09/19/2019

1 26

2 40

3 17

4 9

5 3

7 2

6 1

8 1

9 *

10 *

11 - N=1697

Coping with an Unexpected Financial Challenge: An …...Coping with an Unexpected Financial...

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