Savings Rate - Historical Chart
Personal Saving Rate. Gray shaded areas indicate U.S. recessions.
Source: Federal Reserve Bank of St. Louis (FRED), Series PSAVERT. Shaded areas = NBER recession dates. Updated 2026-03-09.
What the Dec 2025 Data Shows
At 3.60%, the savings rate in Dec 2025 is below the 10-year average of 7.01% by 3.41pp. The trend is downward, with decreases in 5 of the last 6 months.
What This Metric Measures
This page tracks personal saving as a percentage of disposable personal income. How much of their after-tax income Americans are saving rather than spending.. The data comes from the Federal Reserve Bank of St. Louis FRED database, series PSAVERT, updated monthly.
Historical Context
The all-time peak was 31.80% in Apr 2020 — roughly 8.8x the current level. The all-time trough was 1.40% in Jul 2005. During COVID-19 in 2020, the reading hit 31.80% (Apr 2020). Year-over-year, the metric has moved -16.3%.
Why It Matters
The savings rate is the consumer balance sheet in one number. A falling savings rate means Americans are spending a larger share of income and saving less. When savings approach zero, consumers have no buffer against job loss or unexpected expenses, which makes consumer debt delinquencies more likely.
What This Means for Business Owners
Understanding where this metric stands relative to historical norms helps business owners make better borrowing decisions. Metrics far from their 10-year average often signal turning points that affect the cost and availability of credit.
Personal Savings Rate - Frequently Asked Questions
The personal savings rate is 3.60% as of Dec 2025 per FRED series PSAVERT. This means Americans are saving 3.60 cents of every dollar of disposable income.
The savings rate was artificially elevated (20-30%) during COVID lockdowns when stimulus checks arrived but spending options were limited. The pre-pandemic normal was 6-8%. The current rate must be compared to this pre-pandemic baseline.
Low savings means consumers are spending nearly all their income. This supports GDP growth in the short term but leaves households vulnerable to shocks. A recession starting when savings are low tends to produce sharper consumer distress because there is no buffer.
When savings decline, consumers often supplement spending with credit card debt. The inverse relationship between the savings rate and credit card balances is well documented. Low savings and rising card balances are a combustible combination.
The all-time peak was 31.80% in Apr 2020, during the COVID-19 lockdowns when consumers received stimulus payments but had limited spending options.
FRED series PSAVERT, published monthly by the Bureau of Economic Analysis (BEA) as part of the Personal Income and Outlays report.