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New research has revealed that Australians are now saving almost three times as much as they were 10 years ago.
According to a survey by comparison website finder.com.au, Australia’s household savings ratio has risen from 2.5 per cent in September 2005 to 9.1 per cent in September 2015.
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The research also found that Australians plan to save a total of $170 billion in 2016.
The most popular savings goal among respondents was a holiday, with 49 per cent referring to this as their target. Meanwhile, 36 per cent of respondents said they were saving for ‘a rainy day’, 20 per cent for home improvements, and 20 per cent for technology purchases.
Looking at the states, NSW residents are set to save the most this year, with an average savings goal of $10,602, followed by Victoria ($10,202), Queensland ($8,839), Western Australia ($8,239), Tasmania ($7,753) and South Australia ($6,685).
Bessie Hassan, consumer advocate at finder.com.au, said the findings indicate that Australians are shifting their mindset from spending to saving.
“Households are spending less than their disposable income, which is vastly different to the early 2000s when it fell below zero,” she said. “Australians are becoming savvier with their spending.”
[Related: Financial stability yet to recover from GFC]
