Invest
Millions of Aussies couldn’t fork out $5,000 in an emergency
About 11 million Australians don’t have enough savings to deal with an emergency costing them $5,000, recent data suggests.
Millions of Aussies couldn’t fork out $5,000 in an emergency
About 11 million Australians don’t have enough savings to deal with an emergency costing them $5,000, recent data suggests.
A survey of 2,026 Australians from comparison site Finder found 57 per cent wouldn’t have $5,000 in cash reserves to weather a crisis. Finder estimates this equates to 11 million Australians when averaged out.
Finder’s research also suggests an estimated five million Australians are living month-to-month to cope with their mortgage repayments. This constitutes about 40 per cent of Australians with a mortgage.
A further 7 per cent of mortgage holders are “barely able” to make payments, according to Finder, while 2 per cent are behind on their payments.
As well as day-to-day savings being compromised, retirement savings are also an issue for many Australians.
According to the Finder survey of 1,961 Australians, only 18 per cent of Australians make extra contributions to their superannuation above the mandated employer contribution.
Of those who did make extra contributions, the majority chipped in less than $100 per month, or about $1,011 a year.
As former treasurer Peter Costello said this week, this level of contributions means most Australians will be unable to fund their own retirement.
“If you truly want to become independent of the government, a self-funded retiree, live off superannuation, you’re going to have to put your own money in,” Mr Costello told the ABC.
The Association of Superannuation Funds of Australia estimates the lump sum needed in superannuation to support a comfortable lifestyle for a couple is $640,000, or $545,000 for a single person, assuming a partial age pension.
RELATED ARTICLES
Spending
Moneysmart study reveals Gen Z women more concerned about finances than men
A new research conducted by ASIC’s Moneysmart has unveiled the heightened levels of stress and concern regarding finances and the cost of living among Australian Gen Z women compared to their male ...Read more
Spending
The cost of politeness: Aussies out of pocket by $1,350 due to 'awkward tax'
It's the time of year when Australians dive into their pockets for festive events and gatherings, yet a recent study by PayPal suggests that many are too polite, or perhaps too embarrassed, to ask for ...Read more
Spending
Aussies can ‘NAB Now Pay Later’ with the last major bank to embrace BNPL
NAB has become the latest bank to enter the BNPL market. Read more
Spending
Aussie households spent $368 a week on transport after petrol price surge
Fuel costs have increased by 40 per cent over the past year, a new report from the Australian Automobile Association has revealed. Read more
Spending
Voters say reducing the cost of living should be the government’s top priority
Aussies have ranked high cost of living as the top issue that needs to be addressed by the next government. Read more
Spending
Bodies back Labor’s commitment to stronger BNPL regulation
All parties should commit to stronger regulations for the BNPL sector, according to Financial Counselling Australia. Read more
Spending
Household spending surges led by retail and recreation
Spending on retail, recreation and hospitality have continued to climb as COVID-19 case numbers and restrictions have eased. Read more
Spending
Banks extend financial assistance to flood-affected customers
A range of assistance is available from major banks to those impacted by flooding in NSW and Queensland. Read more
Spending
Moneysmart study reveals Gen Z women more concerned about finances than men
A new research conducted by ASIC’s Moneysmart has unveiled the heightened levels of stress and concern regarding finances and the cost of living among Australian Gen Z women compared to their male ...Read more
Spending
The cost of politeness: Aussies out of pocket by $1,350 due to 'awkward tax'
It's the time of year when Australians dive into their pockets for festive events and gatherings, yet a recent study by PayPal suggests that many are too polite, or perhaps too embarrassed, to ask for ...Read more
Spending
Aussies can ‘NAB Now Pay Later’ with the last major bank to embrace BNPL
NAB has become the latest bank to enter the BNPL market. Read more
Spending
Aussie households spent $368 a week on transport after petrol price surge
Fuel costs have increased by 40 per cent over the past year, a new report from the Australian Automobile Association has revealed. Read more
Spending
Voters say reducing the cost of living should be the government’s top priority
Aussies have ranked high cost of living as the top issue that needs to be addressed by the next government. Read more
Spending
Bodies back Labor’s commitment to stronger BNPL regulation
All parties should commit to stronger regulations for the BNPL sector, according to Financial Counselling Australia. Read more
Spending
Household spending surges led by retail and recreation
Spending on retail, recreation and hospitality have continued to climb as COVID-19 case numbers and restrictions have eased. Read more
Spending
Banks extend financial assistance to flood-affected customers
A range of assistance is available from major banks to those impacted by flooding in NSW and Queensland. Read more
