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Why can't Americans save, and what they can do about it
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Americans are notoriously poor savers. Reversing that trend starts with a discussion of possible causes. - photo by Jeff Wuorio
Americans are among the best at many things but saving money isnt one of them.

A recent study by the Pew Charitable Trust found a majority of American households could replace less than one month of their income through liquid savings. By contrast, financial advisers recommend a minimum of several months of readily available savings to meet unexpected expenses.

Long-term savings don't fare much better. The Center for Retirement Research at Boston College reports more than half of all American households lack sufficient retirement savings to maintain pre-retirement lifestyles, even if family members continue to work until age 65.

And personal finance experts say the problem seems to be growing worse.

We're lousy savers because we have been carefully trained and are strongly pressured to be excellent spenders, said Mike Arman, a financial adviser in Oak Hill, Florida.

There are ways to get into a savings habit, as well, and put money aside for unexpected emergencies or retirement. But making the shift from spender to saver takes some psychological as well as practical changes in how one manages money.

Possible causes

Fueling that pressure to spend is a culture of immediate gratification.

We want the newest this and the latest that, said Certified Financial Planner Ed Snyder, of Carmel, Indiana. We also want instant gratification. We don't want to wait until we have adequate savings before we splurge on that new car.

Not every explanation behind Americans' poor savings habits boils down to a critique of a shop til you drop mentality. Savings account interest rates below 1 percent dont offer much incentive. The Pew Charitable Trust report also found that, from 1999 to 2009, the typical workers earnings grew by a paltry 2 percent. By contrast, the average workers earnings jumped 22 percent between 1979 and 1999.

In my practice, I find many people just do not have the means to save, said Hobe Sound, Florida, Certified Financial Planner R. Joseph Ritter Jr. Their incomes are too low or their priority expenses are so close to their income that there is just not enough left over for meaningful savings.

On top of all that, even our very optimistic nature works against us when it comes to beginning and maintaining adequate savings.

Americans don't save nearly the way Europeans or Asians save for a simple reason: We take as an article of faith that the future will be better than the past; in American history, this is a proven concept, said Margaret J. King, director of the Center for Cultural Studies and Analysis, a Philadelphia-based think tank that studies decision-making. So we always believe that in the next three to five years we'll be better off. That takes the pressure and urgency off the savings mandate in the present.

The savings habit

One strategy to encourage saving is to start the practice at an early age. Even depositing a few coins into a piggy bank at every opportunity can morph into something more substantial later on.

Saving is a habit. The earlier people can get into this habit, the better served they will be, said Tom Scanlon, a Manchester, Connecticut, financial adviser. Recent college grads also need to be taught to be more savvy. It's difficult to get started if you have a car payment, student loans and need to pay rent.

Another step is to take advantage of workplace savings options, including such programs as 401k and 403b retirement plans, health care savings accounts and other choices.

Some employers have added 'auto-enrollment' to their retirement plans, said Scanlon. Essentially, new employees are automatically enrolled into the retirement plan and funds are withdrawn from their paycheck to contribute. Any new employee has to opt out if they don't want to participate.

A budget can also help in establishing a savings plan.

The term budget is often associated with deprivation all the things that are beyond your financial reach. To counteract that perception, focus on goals for savings, such as a vacation or a major purchase: Set savings goals. If you have a vacation in a year, calculate how much you'll need and save a little each month, said Snyder.

Mind over money

Financial experts agree that Americans mindset about money needs a substantial do over to help boost savings levels. Start with dismissing the proposition that owning something, however nice, translates to happiness.

If a purchase does genuinely intrigue you, resist the urge to stampede to the store.

Delay gratification. Just because you want it, don't run out and buy it right now, said Snyder. Give it a week and often your urge to buy it will pass.

Finally, become a more thoughtful consumer. By separating the frivolous from the necessary, the issue of not being able to afford to save becomes increasingly moot.

We buy stuff because we're constantly buffeted by the notion that we can't live without that stuff, said Bryan Sory, co-founder of Qwyvr, an online payment system. Stuff expenditure' is upwards of 60 percent of Americans' net spending. Cut that out and the entire notion that Americans don't save gets stood on its head.
Its toxic: New study says blue light from tech devices can speed up blindness
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A new study from the University of Toledo found that blue light from digital devices can transform molecules in your eyes retina into cell killers. - photo by Herb Scribner
It turns out checking Twitter or Facebook before bed is bad for your health.

A new study from the University of Toledo found that blue light from digital devices can transform molecules in your eyes retina into cell killers.

That process can lead to age-related macular degeneration, which is a leading cause of blindness in the United States, according to the researchs extract.

Blue light is a common issue for many modern Americans. Blue light is emitted from screens, most notably at night, causing sleep loss, eye strain and a number of other issues.

Dr. Ajith Karunarathne, assistant professor in the UT Department of Chemistry and Biochemistry, said our constant exposure to blue light cant be blocked by the lens or cornea.

"It's no secret that blue light harms our vision by damaging the eye's retina. Our experiments explain how this happens, and we hope this leads to therapies that slow macular degeneration, such as a new kind of eye drop, he said.

Macular degeneration is an incurable eye disease that often affects those in their 50s or 60s. It occurs after the death of photoreceptor cells in the retina. Those cells need retinal to sense light and help signal the brain.

The research team found blue light exposure created poisonous chemical molecules that killed photoreceptor cells

"It's toxic. If you shine blue light on retinal, the retinal kills photoreceptor cells as the signaling molecule on the membrane dissolves," said Kasun Ratnayake, a Ph.D. student researcher working in Karunarathne's cellular photo chemistry group. "Photoreceptor cells do not regenerate in the eye. When they're dead, they're dead for good."

However, the researchers found a molecule called alpha-tocopherol, which comes from Vitamin E, can help prevent cell death, according to Futurism.

The researchers plan to review how light from TVs, cellphones and tablet screens affect the eyes as well.

"If you look at the amount of light coming out of your cellphone, it's not great but it seems tolerable," said Dr. John Payton, visiting assistant professor in the UT Department of Chemistry and Biochemistry. "Some cellphone companies are adding blue-light filters to the screens, and I think that is a good idea."

Indeed, Apple released a Night Shift mode two years ago to help quell blue lights strain on the eyes, according to The Verge. The screen will dim into a warmer, orange light that will cause less stress on the eyes.