Why don’t people save enough?

The younger you are, the less likely it is that you feel compelled to save. Brain science helps explain this phenomenon. The lobe of the brain responsible for rational and long-term decisions doesn’t fully develop until the mid to late 20’s. As a result, the younger a person is, the less their brain automatically plans for the future. Research (Stanford University, 2011) indicates, however, that aging image apps can help solve this problem. In the study, people who saw computer-simulated images of themselves in old age began to save more, because it created a connection between their current selves and a sense of a future self that needs the current self’s help. Try it, and let WealthStep know if you save more after using such an app as well!