Here's Why Kentucky Ranks 48th in Financial Literacy Struggles

April, being National Financial Literacy Month, is a great time to look at financial literacy in Kentucky. According to WalletHub’s 2025 report on the Most & Least Financially Literate States, Kentucky ranks poorly in financial education and consumer habits within the Commonwealth. We have a lot of work to do.

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KENTUCKY RANKS 48TH IN FINANCIAL LITERACY

The cost of living has been steadily rising, including for food, gas, and housing, causing hardships for many of our neighbors. People are struggling to make ends meet with wages not keeping up with inflation. Add unexpected costs, like medical bills or car repairs, and the financial struggles can be overwhelming. According to WalletHub’s 2025 report on the Most and Least Financially Literate States, Kentucky ranks 48th overall.

Financial Literacy in Kentucky (1=Most Financially Literate, 25=Avg.):

Overall Rank: 48th
51st – WalletHub’s ‘WalletLiteracy Survey’ Score
45th – % of Adults Aged 18+ Who Spend More than They Earn
43rd – % of Adults Aged 18+ with Rainy-Day Funds
42nd – % of Unbanked Households
34th – % of Adults Aged 18+ Paying Only Minimum on Credit Card(s)
36th – % of Adults Aged 18+ Who Compare Credit Cards Before Applying

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STUDY METRICS

The WalletHub study used a data set of 17 key metrics, which provides financial literacy across all states. These metrics include high-school financial literacy grades, the percentage of adults with rainy-day funds, and insights gathered from WalletHub’s WalletLiteracy Survey. This data digs deep to identify financial preparedness and education in different states.

CHECK YOUR LITERACY SCORE

Did you know 40% of U.S. adults rate their personal finance knowledge as C or worse? You can take the test to get your WalletLiteracy Score to see how prepared you are.

"Being financially literate means you understand the core concepts of money management and can apply them in a manner beneficial to your family’s long-term financial comfort and security. So complete the test, get your WalletLiteracy Score and use it to secure a richer financial future!"

LITERACY QUIZ

STATE-BY-STATE BREAKDOWN

Source: WalletHub

LOOK: Here are 25 ways you could start saving money today

These money-saving tips—from finding discounts to simple changes to your daily habits—can come in handy whether you have a specific savings goal, want to stash away cash for retirement, or just want to pinch pennies. It’s never too late to be more financially savvy. Read on to learn more about how you can start saving now. [From: 25 ways you could be saving money today]

Gallery Credit: Bethany Adams