Wallethub.com recently released its financial literacy rankings of the 50 states and Washington, D.C., and found there is a huge financial literacy problem in the U.S. For instance, less than half of adults use a budget to monitor expenditures, and 60% do not have a rainy-day fund. On top of that, about one in five spend more than they earn.
Wallethub.com also assessed states based on two categories: knowledge & education; and planning & daily habits.
The site looked at the high school dropout rate, results of a Financial Industry Regulatory Authority literacy survey and the percentage of adults with a bachelor's degree, among other measures, to rate states in the first category, literacy. The second category, behavior, included looking at the percentage of people who spend more than they earn, how many have a rainy-day fund and how many pay only the minimum payment on their credit cards, among other measures.
Taking everything into account led to the site's U.S. rankings.
Click through to see the Top 10 Best States for Financial Literacy.
10. MASSACHUSETTS
Overall Score: 10th out of 51
Literacy: 44th out of 51
Behavior: 2nd out of 51
9. IDAHO
Overall Score: 9
Literacy: 2
Behavior: 30
8. MARYLAND
Overall Score: 8
Literacy: 11
Behavior: 11
7. NORTH DAKOTA
Overall Score: 7
Literacy: 14
Behavior: 3
6. SOUTH DAKOTA
Overall Score: 6
Literacy: 5
Behavior: 11
5. MINNESOTA
Overall Score: 5
Literacy: 6
Behavior: 10
4. NEW JERSEY
Overall Score: 4
Literacy: 7
Behavior: 9
3. VIRGINIA
Overall Score: 3
Literacy: 3 (tie)
Behavior: 19
2. UTAH
Overall Score: 2
Literacy: 3 (tie)
Behavior: 8
1. NEW HAMPSHIRE
Overall Score: 1
Literacy: 1
Behavior: 1
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