Though the persistent economic downturn caused a modest decline in Americans' overall sense of long term financial security in April, results from this month's COUNTRY Financial Security Index(SM) may suggest that some key concerns are finally beginning to stabilize.


The COUNTRY Index dropped nearly a point to 64.9 in April almost entirely due to a decline in the number of people who are confident about their retirement. However, other aspects of Americans' financial security hint to a bottom.

Have Americans' sentiments hit bottom?

While Americans have been shaken by the economic downturn, the latest COUNTRY Index suggests some financial worries haven't increased.

- The number of Americans rating their overall level of financial security as poor is at a record high (20 percent). But, April marks the first time since last summer this number has not worsened.

- Forty-seven percent of Americans were recently able to set aside money for savings or investments, a one-point uptick since February and the first since last June.

- After concerns about college funding spiked in February, they remained relatively stable in April. A total of 59 percent are confident they will have the financial resources needed to send their children to college.

"While it's still too early to tell if concerns have permanently leveled off, it is encouraging to learn that people think things may not get any worse right now," says Keith Brannan, vice president of Financial Security Planning at COUNTRY. "As bad as it might seem, most families can get back on track and build a financially secure future for themselves, no matter where they're starting from."

Retirement concerns jump to record high

Despite this month's stabilization in some aspects of the Index, pessimism is seeping into Americans' sentiments about their long-term finances. After holding relatively stable for the last year, the number of people who feel confident they will have the money for a comfortable retirement dropped five points in April to a record low 54 percent.

In addition, fewer people are confident their families are protected from the unexpected. This month, 60 percent think their family would live comfortably if they died or were disabled compared to 64 percent in February.

"Until now, Americans' concerns have been focused primarily on day-to-day money matters. As the recession wears on, it is understandable that people are now significantly more worried about the long term," says Brannan. "But it won't always feel this tough. Now is the time to address your financial situation to make sure you are positioned to take advantage of the eventual turn-around, when it comes."