The US personal savings rate dropped -0.5 percentage points in February, to 4.0%, the 2nd-lowest since November 2022. Excluding 2022, savings rates are now at their lowest levels since the 2008 Financial Crisis. In 2022, elevated inflation eroded purchasing power, forcing American households to spend more on essentials. The savings rate has declined -1.5 percentage points since April 2025. Furthermore, real disposable income growth has weakened, limiting the ability of consumers to rebuild savings. By comparison, the last 5-year's average was 6.5%, while the 5-year pre-pandemic average stood at 6.0%. Households are struggling to save money.