SAN FRANCISCO — Is the economy affecting your spending and saving habits? Have you put off buying a washer or dryer? If so, you’re not alone. Half of small-business owners say they have postponed a major purchase in the past three months, and nearly as many (44%) say they’ve reduced the amount of money they’ve deposited into savings, checking or a CD, according to the most recent Wells Fargo/Gallup Small Business index survey.
In addition, 31% say they have reduced the amount they have contributed to a retirement account. Overall, more than one-third of small-business owners say that their personal financial situation as a whole is getting worse.
Small-business owners also show concerns about not having enough money for the future. Seventy-five percent have concerns about paying for gas, and more than half (51%) are worried that they will not have enough money for the next 12 months’ regular medical and dental expenses.
“Times of economic downturn often showcase the resiliency of small-business owners,” say Rebecca Macieira-Kaufmann, head of Wells Fargo's small-business segment. “What’s critical now, as in any economic environment, is that business owners maintain strong financial management practices and plan for the future.”