Money management survey for adults with disabilities. Exploring options to enable greater self-determination

Transcription

1 Money management survey for adults with disabilities Exploring options to enable greater self-determination 2015

2 Introduction

3 True Link serves a broad range of individuals, families, and professionals, nationwide True Link aims to increase the financial well-being and independence of seniors, individuals with disabilities, at-risk adults, and others who need support managing their money

4 We partnered with ASAN and Quality Trust to learn more about adults with disabilities, from adults with disabilities

5 We developed a survey to ask adults with disabilities to share their experiences around money management Goal: Gather the perspectives of adults with disabilities in order to better understand the needs and challenges they face when dealing with money.

6 We hope to use this data to develop more effective and empowering financial tools for adults with disabilities Input sought Use of results The survey sought input on three main questions: To promote the development of better financial tools for adults with disabilities and to support greater financial independence and selfdetermination. 1. How is your money managed? 2. What challenges do you face when dealing with money? 3. What type of service or tool could help you with these challenges? $

7 We conducted survey outreach via social media and to over 50 organizations, nationwide

8 We used data from 174 respondents in our analysis 296 people started the survey We used a subset of these responses for our analysis: - People who finished the survey and reported having a disability - In total, we used data from 174 respondents for our analysis 350 People who completed survey and reported having a disability People who completed survey but did not report having a disability Total respondents People who started survey but did not complete it

9 Results part 1: Basic information, needs, and challenges

10 98% of respondents were over 18 years old and 75% reported that their disability makes it difficult to manage money Count Percent of total 3 1.7% % % % % % % % % % % Over % Yes % No % How old are you? Under 18 Over 18 Does your disability make it difficult for you to manage your money? * Results provided include baseline popula3on only, unless otherwise indicated.

11 The top payment method used across all age groups was debit cards (63%) Percent of total When you buy everyday things, how do you usually pay? Debit card 62.6% Cash 56.3% Someone else buys it 34.5% Credit card 28.2% Checks 12.6% Gift card 12.1% Prepaid card 6.3% Use a card; not sure what type 5.2% Other 4.0% Respondents aged 18-40, use debit cards the most, then cash Respondents aged use cash the most, then debit cards Respondents aged use cash and a variety of cards 28% of respondents aged use checks 48% of respondents aged have purchases made by someone else 86% of respondents use a card of some sort (credit, debit, prepaid, etc.)

12 52% of respondents reported that no one manages their money, while 24% reported that a family member helps Percent of total Is there someone, other than you, who manages or controls your money? Select all relevant. No one manages or controls my money 51.7% Family member / friend who is not any of the other answer choices 24.1% Rep payee 14.9% Guardian / Conservator 13.2% Other 5.2% Trustee 1.7% POA / Fiduciary 1.7% Answers were relatively consistent across age groups

13 The three most common challenges reported were around budgeting and keeping track of spending Percent of total What challenges do you face when dealing with money? Select all relevant. Sticking to a budget 57.5% Keeping track of how much money I spend or how much money I have left 51.7% Creating a budget Difficulty keeping track of bills and paying them on time Impulse buying or shopping sprees When sales people pressure me into buying things I don't want or should not buy Being taken advantage of by family, friends, or paid helpers Being a target of fraud, scams, or identity theft Other Not having freedom or control over choices about how my money is spent I do not face any challenges Shopping or gambling addiction 49.4% 46.6% 40.8% 24.1% 19.5% 17.2% 16.7% 9.2% 9.2% 6.9% Top three choices were highly rated across all age groups 31% of respondents aged responded, I do not face any challenges Respondents aged noted concerns re exploitation and sales pressure Not having freedom not considered a top challenge with respondents

14 Respondents noted that their biggest challenge was around keeping track of balances and spending Percent of total What is the biggest challenge you face when dealing with money? Pick one. Keeping track of how much money I have spent or how much money I have left 18.4% Difficulty keeping track of bills and paying them on time 16.1% Other 15.5% Sticking to a budget 14.4% Impulse buying or shopping sprees 10.3% Creating a budget 6.9% Being taken advantage of by family, friends, or paid helpers 4.0% Not having freedom or control over choices about how my money is spent 2.3% When sales people pressure me into buying things I don't want or shouldn't buy 2.3% Being a target of fraud, scams, or identity theft 1.7% Shopping or gambling addition 0.6% Keeping track of money and Sticking to a budget All age groups selected one of these as their top challenge Keeping track of bills Consistent second pick across all age groups 12% of respondents aged selected Impulse buying

15 In addressing challenges, respondents often get help from family or friends (33%) Percent of total How are your challenges with money addressed? Select all relevant. I get help from family or friends 33.3% I have automatic payments for bills 24.7% Other 24.1% I have a joint bank account with someone I trust 22.4% I give someone I trust access to my account(s) 16.7% Someone else controls how much money I can spend 14.9% I use online tools like Mint.com 8.0% I have an identity protection service 5.2% I get help from a professional or paid support person 5.2% I get help from family or friends was the top pick for all age groups except year olds Respondents aged indicated they are less likely to have auto bill pay

16 41% of respondents reported that they are somewhat happy with how their money is managed Percent of total In general, how happy are you with how your money is managed? Very unhappy 4.0% Unhappy 19.0% Somewhat happy 41.4% Happy 28.7% Very happy 6.9% I want to be a good adult and independent but feel like a failure when I can't remember to pay bills. Then people tell me if I really cared, that I would remember the bills. I do care, but can't remember them. I don't have control over many things in my life. It feels good to be in control of my own money.

17 Sample responses 1: In general, how happy are you with how your money is managed? I feel fortunate to have people around me who can tell me what is reasonable in terms of how much I should have to spend to buy something or how much I should be paid for doing a task. I wish all the people I work for realized that I deserve pay for my work but currently I have financial support from my mom so I can make do with partial work and partial pay. I feel in charge of my money (which is scary sometimes but is a good thing). My spouse manages our money and I trust her judgement. Also we're fortunate to have enough money that we can afford the lifestyle we want. I am really overwhelmed and one of the big problems for me is many places only allow me to call them on the phone, I do better with writing. I don't miss bills or overspend with the management tools I have. I wish my mother would stop trying to exert control, because she uses leftover money for her own expenses I have short-term memory issues and lose my debit card at least once a month, if not more. This cuts off my access to all of my savings, and it is easy to burn through the little cash I have on hand if there are large bills to pay. I get so stressed out having to beg family members and friends to borrow money, and sometimes they refuse to help me. This is frustrating because I have money in my account, the issue is that I can't access it when I misplace my debit card and my checkbook. I feel like a criminal because I have to board trains without any money. I even got banned from my city's rail (despite the fact I had already purchased TWO monthly passes for that particular month...i just misplaced them both). I sometimes get sick and tired of having to pay for things multiple times because I keep losing the item that I purchased. i don't like being a burden It took a lot of freedom and self esteem away to have to have someone keep track of my finances and household budget.

18 Sample responses 2: In general, how happy are you with how your money is managed? Getting money is hard enough. I can't hold down a job, I can't even stay on benefits. So keeping money needs to be a skill I have but its not. I get taken advantage of. Or I get distracted and buy things I shouldn't. Or I get confused and spend more than I meant to. So I run out of money and can't afford to eat and end up having to borrow money from friends and family and then I run out of that and can't afford to eat My husband (who is also autistic) is an accountant, and is an excellent money manager. I still have issues with impulsive spending -- especially online -- but knowing that I am accountable to him keeps me from spending like I did when I was single. We also do not have a credit card (because of my history), so I know I cannot spend more money than I have in my checking account at that moment. I don't have a plan. I feel that I have missed opportunities to build assets because I was looked at- and expected to be and remain- a "government charge". Yes, it should be up to the individual to set their path, seize opportunities, be responsible for their own life planning, but expectations and assumptions play a real part in our beliefs about what we can accomplish. / / I wish I had some way of getting help but I am considered "too high functioning" for assistance so I don't know what to do. I don't feel I really understand money or value it properly. I worry that this means I will not have money to look after my child in the future. I could use some help with money. I have been lucky so far and had the help I needed. No matter how hard I try I always seem to spend more than I intend to. It is frustrating and tiring how much I have to think about money and try so hard to keep control of spending it. I wish I was better at planning, and not always a source of stress for my wife.

19 Sample responses 3: In general, how happy are you with how your money is managed? I simply don't have enough money to survive - I'm long-term unemployed, even when working I had difficulty keeping track of my money or making impulse purchases, but it was still easier to keep on top of things than being unemployed and unable to even pay basic bills or struggling so much when an unexpected bill or late payment crops up. I have tremendous shame about my inability to do this. I also would prefer to work rather than take benefits which always make my quality of life harder. I feel I should do this but irt is very hard for me to keep up with it. It is overwhelming all the time. I want to buy everything but I know I should not. I want to be on my own but I need money to get what I need. I have trouble getting and keeping a job. I try really hard but I feel no one wants me at the work. I feel frustrated and out of control Well, I wish I had more money to get through the month, but in general, I am quite happy with the situation on handling money. I am mostly in control of it, with advice and help from my mother. She is someone I can trust, which is a rare thing in my life. I don't have enough money to pay off my education debts, much less save for the future. I'm very afraid of what will happen to me when I'm old, because I'll probably be all alone and I won't have much retirement income. My disability (Asperger's only recently diagnosed) has cost me many jobs, so I haven't been able to create robust retirement accounts. not enough money to get through the month Because I can't keep track. / / It's a lot better than if someone else was controlling it though. That would be way worse. I'm obsessive about making sure I'm on budget/

20 Sample responses 4: In general, how happy are you with how your money is managed? I have enough money and am good at budgeting, but I have limited flexibility in spending it and don't entirely understand the ways in which it is stored and invested. I prefer to be in control of my money and have been doing it for many years. My challenges are being able to keep up with all my daily needs and important obligations. Wish I knew how to express to my neuro-typical husband the importance of a budget. We have enough income that we're not hurting, but we're not managing spending or debt I have made a lot of improvements over the past several years. Self-advocacy skills and therapy have made it so that I am no longer taken advantage of (theft and scams) and I am much better at saying no to sales people. I have also learned to keep a better budget and stick to it, and plan for purchases including "fun" purchases. I keep on ruining my credit because I forget to pay bills, and then get too anxious to deal with them. Otherwise my OCD makes me very money conscious, so while there's always an underlying anxiety, and I am awful at depositing pay checks, I am very stingy about what I spend money on. I appreciate that I have control over my decisions with money, and that I have some tools to help me with managing bills (automatic payments, etc.). However, because I do not make enough money to live completely on my own, I feel insecure and powerless. Although I sometimes have trouble staying on top of bills, in the cases when I have failed to pay them, the past-due notice is enough to spur me into action. My biggest problems are related to judging how much money I have-- I don't have an inherent "feel" for how much is in my account, how much things cost relative to that, or how the amount due on bills compares to that.

21 Top reasons for unhappiness included not having enough money and not having the skills or capacity needed Top reasons for unhappiness Population #1 #2 Guilt / shame related to relying on others (17%) Very unhappy Top reasons for happiness #1 #2 N/A N/A Exploited or mistreated (17%) Exec functioning issues / lack of skills (17%) Unhappy Somewhat happy Happy Very happy ALL Not enough money (19%) Exec functioning issues or lack of skills (14%) Someone I trust helps (3%) N/A Exec functioning issues or lack of skills (15%) Not enough money (13%) Someone I trust helps (5%) Have some control or independence (4%) Not enough money (9%) Frustration with benefits (4%) Someone I trust helps (26.4%) Needs / wants are met (17%) N/A N/A Have some control or independence (41.7%) Needs / wants are met (25%) Not enough money (13%) Exec functioning issues or lack of skills (11%) Someone I trust helps (9%) Have some control or independence (7%) * Did not include if percent reported was less than 2%. Able to budget or manage money (5%)

22 Results part 2: Reactions to sample financial tool

23 The majority of respondents indicated interest in a prepaid Visa debit card product with customizable limits Imagine that you have a special pre-paid Visa card. How it works: A certain amount of money is put on the card and then you can use it to buy things. More money can be put on the card. The card has different settings to help you manage your money. Count Percent of total (174) Would you be interested in this card? Yes No % 39.1% Percent interested 75% 74% 32% % % Age Top 3 reasons given for not being interested in the card Don t have a use for it or doesn t address needs 28.8% Already have card with most of these features 21.2% Mistrust of product 13.6%

24 Desired product features included text alerts (67%), visual and text aides (60%), and control settings (53%) Percent of total (106) What kind of card settings would you want to help you manage your money? Select all relevant. The ability to set a text alert to let me know important things about my spending 67.0% The ability to show me pictures, graphs, guides, and other visual or text-based aides 60.4% The ability to allow someone to help me make decisions about the card's settings, without giving them full control 52.8% The ability to limit how much money I can spend on different things 45.3% The ability to block certain types of purchases that I don't want to make 35.8% Which card setting would be the most important to you? Please pick one. The ability to show me pictures, graphs, tables, step-by-step guides, and other visual or text-based aids 28.3% The ability to limit how much money I can spend on different things 22.6% The ability to receive a text message alert to let me know important things about my spending 22.6% The ability to allow someone to help me make decisions about the card's settings, without giving them full control 20.8% The ability to block certain types of purchases that I don't want to make 3.8% * Total includes only those who expressed interest in the product.

25 We asked respondents to select how they wanted to change settings for the card

26 There was not one landslide winner in terms of how to change card settings and level of cardholder control Percent of total (106) You can decide how to change the settings for your pre-paid Visa / card. Pick the option you like the best. Make changes at any time 44.3% Need approval to make changes 32.1% Need to wait for changes 23.6% Make changes at any time Need approval to make changes Need to wait for changes % 31% 23% % 15% 35% % 38% 25% % 56% 0% % 50% 25% Age group * Total includes only those who expressed interest in the product.

27 A clear majority of respondents (87%) reported wanting to review their account information online Percent of total (106) How would you like to do things like check your balance or review / your purchases? Select all relevant. Online (through a website) 86.8% On paper 25.5% Over the phone via an automated system 19.8% Over the phone while talking to a person 14.2% I would not want to do any of these things; I would ask someone I trust to do them for me 5.7% * Total includes only those who expressed interest in the product.

28 Appendix

29 Payment method Percent of total When you buy everyday things, how do you usually pay? Select all relevant. Debit card 62.6% Cash 56.3% Someone else buys it 34.5% Credit card 28.2% Checks 12.6% Gift card 12.1% Prepaid card 6.3% Use a card; not sure what type 5.2% Other 4.0% Age First choice Second choice Third choice % - Debit card 63% - Cash 48% - Someone else % - Debit card 56% - Cash 44% - Credit card % - Cash 44% - Debit card 28% - Checks % - Debit card 41% - Cash 21% - Credit card % - Cash; Debit; Credit; Someone else 25% - Card, not sure what type 17% - Gift card

30 Managing or controlling money Percent of total Is there someone, other than you, who manages or controls your money? Select all relevant. No one manages or controls my money 51.7% Family member / friend who is not any of the other answer choices 24.1% Rep payee 14.9% Guardian / Conservator 13.2% Other 5.2% Trustee 1.7% POA / Fiduciary 1.7% Age First choice Second choice Third choice % - No one 27% - Family member / friend 22% - Guardian / Conservator % - No one 26% - Family member / friend 7% - Rep payee; Other % - No one 20% - Rep payee 12% - Family member / friend % - No one 17% - Family member / friend 14% - Rep payee % - No one; Family / Friend 17% - Guardian / Conservator 8% - Rep payee

31 Challenges Percent of total What challenges do you face when dealing with money? Select all relevant. Sticking to a budget Keeping track of how much money I spend or how much money I have left Creating a budget Difficulty keeping track of bills and paying them on time Impulse buying or shopping sprees When sales people pressure me into buying things I don't want or should not buy Being taken advantage of by family, friends, or paid helpers Being a target of fraud, scams, or identity theft Other Not having freedom or control over choices about how my money is spent I do not face any challenges Shopping or gambling addiction 57.5% 51.7% 49.4% 46.6% 40.8% 24.1% 19.5% 17.2% 16.7% 9.2% 9.2% 6.9% Age First choice 68% - Keeping track of money 70% - Sticking to a budget 76% - Sticking to a budget 38% - Sticking to a budget Second choice 58% - Sticking to a budget 67% - Keeping track of money 48% - Creating a budget; Impulse buy 31% - I do not face any challenges Third choice 56% - Creating a budget; Bills 63% - Creating a budget 40% - Bills 24% - Creating a budget; Bills % - Creating a budget; Being taken advantage of 33% - Sticking to a budget; Keeping track of money; Bills 25% - Sales pressure; Impulse buying; Other

32 Biggest challenge Percent of total What is the biggest challenge you face when dealing with money? Pick one. Keeping track of how much money I have spent or how much money I have left 18.4% Difficulty keeping track of bills and paying them on time 16.1% Other 15.5% Sticking to a budget 14.4% Impulse buying or shopping sprees 10.3% Creating a budget 6.9% Being taken advantage of by family, friends, or paid helpers 4.0% Not having freedom or control over choices about how my money is spent 2.3% When sales people pressure me into buying things I don't want or shouldn't buy 2.3% Being a target of fraud, scams, or identity theft 1.7% Shopping or gambling addition 0.6% Age First choice 23% - Keeping track of money 22% - Keeping track of money 24% - Sticking to a budget 21% - Sticking to a budget 17% - Keeping track of money; Sales pressure; Other Second choice 17% - Bills 19% - Bills; impulse buying 16% - Bills; Creating a budget 17% - Other 8% - Sticking to a budget; Being a target of fraud; Being taken advantage of; Impulse buying; Bills Third choice 12% - Impulse buying 11% - Sticking to a budget 12% - Keeping track of money 14% - Bills N/A

33 Addressing challenges Percent of total How are your challenges with money addressed? Select all relevant. I get help from family or friends 33.3% I have automatic payments for bills 24.7% Other 24.1% I have a joint bank account with someone I trust 22.4% I give someone I trust access to my account(s) 16.7% Someone else controls how much money I can spend 14.9% I use online tools like Mint.com 8.0% I have an identity protection service 5.2% I get help from a professional or paid support person 5.2% Age First choice Second choice Third choice % - Get help 27% - Joint account 26% - Give someone access % - Get help; Bill pay 30% - Joint account; Online tools 26% - Other % - Get help 20% - Other 16% - Bill pay % - Other 24% - Bill pay 17% - Joint account % - Joint account; Bill pay; Get help 17% - Someone else controls; Give someone access; Other N/A

34 Qualitative analysis: Reasons for unhappiness and happiness Top three reasons for unhappiness Popula3on Top three reasons for happiness #1 #2 #3 Guilt or shame related with relying on others (16.7%) Exploited or mistreated (16.7%) Execu3ve func3oning issues or don't have skills needed (16.7%) N/A N/A N/A Not enough money (19.2%) Execu3ve func3oning issues or don't have skills needed (13.7%) Trouble with budge3ng or spend too much (9.6%) Someone I trust helps (2.7%) N/A N/A Not enough money (13%) Trouble with budge3ng or spend too much (9.6%) Someone I trust helps (5.2%) Have some level of control or independence (4.3%) Have enough money (3.5%) Somewhat happy Execu3ve func3oning issues or don't have skills needed (14.8%) Not enough money (9.4%) Frustra3on with benefits (3.8%) N/A Happy Someone I trust helps (26.4%) Needs are met (17%) Have some level of control or independence (15.1%) N/A N/A N/A Have some level of control or independence (41.7%) Needs wants are met (25%) Someone I trust helps (8.3%) Someone I trust helps (8.7%) Have some level of control or independence (7.2%) Very unhappy Unhappy Not enough money (13.2%) Execu3ve func3oning issues or don't have skills needed (10.9%) * Did not include if percent reported was less than 2%. #2 #3 Overwhelmed or stressed (9.6%) Very happy ALL RESPONDENTS #1 Trouble with budge3ng or spend too much (7.9%) Able to budget or manage money (5.2%) Able to budget or manage money (8.3%) Needs are met (5.7%) Able to budget or manage money (5.7%)