ASEC Joins National Organizations to Sponsor Sixth Annual National Consumer Protection Week

1/30/2004

Contacts: Variny Paladino of the American Savings Education Council, 202-775-6321 or paladino@asec.org, Jim Jaffe of the Employee Benefit Research Institute, 202-775-6353, jaffe@ebri.org

WASHINGTON, Jan. 30 -- The American Savings Education Council (ASEC) has joined a group of federal, state, and local agencies and national advocacy organizations to launch the sixth annual National Consumer Protection Week (NCPW), Feb. 1(7, 2004, highlighting consumer protection and education efforts around the country. This year's theme, "Financial Literacy: Earning a Lifetime of Dividends," focuses on the skills consumers need to make smart decisions in the marketplace and ensure a solid financial future.

"ASEC is proud to be a partner in sharing the financial literacy message of National Consumer Protection Week. In today's unpredictable economy, learning to manage your finances responsibly and save for your future is very important," said Don Blandin, president of ASEC. "Being a smart consumer means being in control of your money rather than letting it control you."

ASEC and its partners work to create and provide free and easy- to-use saving tools, brochures, and other materials to help Americans become more financially savvy at every life stage. To help consumers get a handle on their finances, ASEC introduces a Save For Your Future Booster Calculator that quickly and easily shows you how much money you can accumulate in a year by just cutting back a little on your daily spending.

The Save For Your Future Booster slide calculator consists of two sides. Side 1 asks, "Where to Find Money To Save," -- with the answer, "Look In Your Pocket!" One can then choose an amount from $1 to $12 by sliding the calculator insert up and down to fill in the sentence, "Spend $XX LESS a DAY on average and you will have $XX MORE a YEAR."

Side 1 of the calculator also has a small price chart that shows the typical retail prices for items that one might spend money on in a day, week, or month. Some examples from the chart include:

Item: Snack/candy/soda
One Every: Day
Price: $0.50 - $1.50
Cost per Day: $0.50 - $1.50

Item: Coffee, latte, etc.
One Every: Day
Price: $1.00 - $3.00
Cost per Day: $1.00 - $3.00

Item: Fast food meal
One Every: Day
Price: $2.50 - $6.00
Cost per Day: $2.50 - $6.00

Item: Lottery ticket
One Every: Week
Price: $1.00 - $5.00
Cost per Day: $0.14 - $0.71

Item: Pizza, take-out, etc.
One Every: Month
Price: $10.00 - $20.00
Cost per Day: $0.33 - $0.67

Write the TOTAL you spend per day, on average: $XX

Side 2 shows how savings can add up over time. Let's say an individual spends $3 a day on a latte and $6 on a fast food lunch -- or $9 a day. Inserting $9 into the calculator shows that by spending just $9 less a day on average will save you $3,285 per year. A little goes a long way!

The calculator also shows how the same amount of money can add up in a few years. For example, spending $9 less a day will save: $63 in a week; $3,285 in a year; $16,434 in five years; $32,868 in 10 years; and $65,745 in 20 years.

"Many people think they do not have any money, so they do not even try," said Blandin. "This calculator shows that the 'little things' that we all spend money on every day can add up quickly. By making one small change in your behavior -- such as bringing your lunch once a week as opposed to going out every day -- you can accumulate a nice sum of money at the end of the year if you just stick to it."

During NCPW, representatives from federal, state, and local agencies and national advocacy organizations will help consumers of all ages understand how the decisions they make in the marketplace affect their overall fiscal fitness. For more information about NCPW, visit http://www.consumer.gov/ncpw

Calculators, educational videos, brochures and more can be found at http://www.ChosetoSave.org(r). A free Save For Your Future slide calculator and other ASEC savings education brochures and worksheets may be obtained while supplies last by sending a self-addressed, stamped (with $1.75 postage) 9" x 12" business- sized envelope to: Save For Your Future, Suite 600, American Savings Education Council, 2121 K Street NW, Washington, DC 20037- 1896

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ASEC is a program of the nonpartisan, nonprofit Employee Benefit Research Institute Education and Research Fund (EBRI-ERF) (http://www.ebri.org). ASEC is a coalition of private- and public- sector institutions that undertakes initiatives to raise public awareness about what is needed to ensure long-term personal financial independence. ASEC educational materials are available at www.asec.org and www.choosetosave.org

Founded in 1978, EBRI's mission is to contribute to, to encourage, and to enhance the development of sound employee benefit programs and sound public policy through objective research and education. EBRI is a private, nonprofit, nonpartisan public policy research organization based in Washington, DC. EBRI does not lobby and does not take positions on legislative proposals.

The Save For Your Future campaign, a partnership between the Social Security Administration and the American Savings Education Council (ASEC), is committed to informing Americans about the need to plan and save for retirement and other life stages. State Farm is the national campaign sponsor. More information on the campaign can be found at: http://www.saveforyourfuture.org. The Save For Your Future Booster Calculator was customized for the campaign by Advantage Publications, another ASEC partner institution.