1 in 4 people have less than £100 in savings.

[cakeorwine]

And of those, 1 in 6 have no savings

moneyandpensionsservice.org.uk/2022/11/07/one-in-six-uk-adults-have-no-savings/

www.bbc.co.uk/news/business-63517823

And it's only going to get worse with fuel bills and inflation.

It must be such a worry. And I bet that within that data, there is going to be wider variation (in general) with age, location and income (obviously)

I have lots of first and second gen immigrants around and money are not a taboo at all.

When people say they have no savings, it all depends on where the place they are putting it in is actually paying interest at a decent rate to really make a difference, bank savings rates are rubbish

No, you don't understand at all. For many working people there is NOTHING to put in a saving account. There is nothing left. The cost of living is crippling people. It's like a dull ache that never goes away.

I think that I 'd like a better survey done. I think that I have reached a point in accessing information where I doubt everything that is said, and have no idea how things are in reality. I think that's sad. I only know what is my reality.
I live abroad in what is known as a far less economically strong country. But often people appear to be able to weather more than the Uk. I can't understand it. Is it just not spoken about here? Maybe people expect less here? Maybe individual debt is less? Maybe because hardly anyone has a mortgage? Only around 6-7 million have a mortgage, 10 million rent, and the remaining 45million or so own their homes outright. Who knows? Here people envisage high Uk salaries, a wealthy nation, but reports from the Uk make out the country is drowning. I live in the back end of nowhere, no opportunities available. I sometimes think about all the opportunities my children would have had back in the Uk. I don't know what's real.

We've all been encouraged to get into debt - from student years onwards - and to have things now rather than save up. Saving has hardly paid any interest for ages. It'd pretty hard to counter the continual message to spend and not save.

Dh and I were brought up with a real fear of debt - we have incurred some because modern living is hard not to even if you live fugally - it worries me our kids seem way more comfortable with idea mainly because University will mean debt so it's now much more normalised.

Thankfully this is a very dated view and the taboo around discussing salaries, savings, finances is definitely not an issue with younger people

It's not taboo, it would just never come up in conversation, and I live in a wealthy area. And I'm in my 40s, not in my dotage, and know lots of people of all ages. I just question whether posters here have the great knowledge they claim to of others' financial arrangements. Or how they know what other people tell them is real. I doubt many younger people would be in the position to have savings, most people are struggling with debt and trying to keep a roof over their heads.

I don’t know anyone without significant savings either

I believe you! I just think people saying "I know loads of people and they all have significant savings" are outliers at best.

I think the MSE approach to budgeting would help many people.
It factors in birthday presents, car maintenance, boiler repairs etc and then breaks it down over 12 months.

It stops these things as being seen as a surprise cost. Some maintenance is inevitable, the problem is there's no way to know when it will come.

Many just work on the basis of regular bills and what's left over and then anything that deviates from that is a problem.

There will always be a proportion of people for whom saving is impossible as more goes out than comes in.

But there is another group where better financial management would really help.
The problem is that when you are in a rut and there's no chance of saving for the bigger things in life it is easier to be drawn into the small pick me ups of a takeaway or getting nails done. There's a huge amount of psychology at play too.

I don’t talk about my bank balance with friends in general but I expect, due to the jobs they do, homes they have etc, some have significant savings and some have nothing. I think it’s a bit weird to only know people in the same socioeconomic group as yourself, I have friends from all different backgrounds.

How many people with savings have had help getting on the property ladder, inherited money or had their university experience funded by parents ? A lot I’d imagine. I have a friend who loves to talk about how she’s so clever to not be in debt. Her parents bought her a car, pram for baby, baby’s nursery furniture, money for deposit for a house inherited, uni fees paid by parents. Not clever just lucky as fuck 🤣

We have no savings (apart from pensions) what would be savings goes on childcare, which is almost as much as the mortgage. Once childcare finishes that amount will go straight into savings so it will hopefully rack up again fairly quickly. I don't think it's unusual to not have savings depending on what life stage you are at.

@AriettyHomily same, we saved to buy a house so we could start a family before I turned 30. Covid delayed it by about a year but we are a happy family of 3 now with a hosue we’ve worked hard to do up. That’s eaten out savings and now what we’d save like you goes on childcare it’s like you have to pay to go to work with that and the cost of fuel 🙈 I have friends who are saving through their thirties to have this big pot for starting a family but for me it’s not worth having some money in the bank and risking being 40 and not being able to get pregnant. For some people that is fine and what they want. It’s about priorities I guess.

I agree. I know a good proportion of my friends salaries or a band they are earning between.
I remember my parents telling me it's rude to know who people vote for and they are so hush hush about money stuff but times are changing now. Lots more people are open a d actually it helps to be open because people can see a shortfall in earnings doing the same jobs!

I can well believe this. For years I lived in my overdraft - it used to edge into the black when I was paid, then swiftly be in the red again. My parents were much the same when we were little, as were many relatives. It's so depressing and difficult, and so damaging to mental health to know that one unexpected bill could derail your life. It's taken me years not to dread bank statements and bills - my mum used to hide them under the sofa cushions even after they were better off, and I can understand why, though I try really hard not to be like this now.

I wouldn’t say it’s taboo in my age group (30’s) to talk about salaries etc, just seems like a pretty dull topic of conversation to me! Maybe if I had savings I’d find it more interesting 🤣

I know many people who I am sure have a lot of savings they certainly have wealth and they have certainly been helped by their families

earning an average wage simply doesn’t allow many people to save as previously mentioned it’s expensive being poor the options to save money ie. paying insurance upfront are not affordable so many of us are kept locked in. Those who are really struggling are caught out left right and centre

I have a degree a professional job earn slightly higher an average wage

This is sad if the data is correct. I guess if you asked me in my early 20s it would be right, but once I knuckled down and became a student I weirdly saved money. I haven't much though at the age of 40 - just a few thousand as a buffer, which is nothing if the SHF. Partner probably has a few grand in investments. We dont have debts, but we aren't homeowners either, so in many peoples eyes we are poor.

Childcare costs and crazy rent has killed our ability to save or become homeowners, but I am very glad we didn't buy in the last three years given the predicted drops in house prices - we'd be stuffed and there are drops of 5-8% off already in our area and that is just asking prices. Thats a lot in a short space of time. Eek!

Ultimately what all this means is we are all poorer unless the very wealthy or assets are taxed. I bet there is no mention of it in the budget though. As usual working people get hammered.

Yes. I think a lot of higher earners upgrade their spending as their income grows.

Low income have no choice, but I always think it's bonkers to keep spending up to the limit every month as your income grows.

I find it shocking how so many people have savings.

Like a few other PPs, we live month to month. Not a spare fiver here or there. Currently in a waiting situation whilst carers allowed comes though so this month we maxed out on credit cards, overdrafts, scraping every last penny together!
6 days left till payday and we have managed to sell something on marketplace for a fiver.

Help to save scheme is great and will definitely be using that in the future but whilst the cost of living keeps going up we have no choice other than to try and get through each month as it comes.

Not sure why so many are doubting this. I know people with no savings, on low wages with no wiggle room. 15 years ago it was me. I save what I can now but I’m not a high earner and money doesn’t stretch as far.

It’s not living outside your means it’s literally just getting by. Many people with no savings aren’t frivolous they just don’t have anything left to save at the end of the month. Costs have risen but wages haven’t. Pay freezes with the odd 1 % haven’t been enough to cope with the increases.

Yet people do it, and I was one of them (well my ex was) until life fell apart.

People here saying they know their friends have savings 😂. Our family and friends would have said the same based on the million pound plus house, the cars and the holidays. They had no idea. Nobody really knows someone else’s situation unless they have seen bank accounts.

The disbelief here that people don’t have savings is astonishing.

I did…it is done on 3000 people - I’m asking how they’re selected…no info given on that in pension and money wise…

The disbelief here that people don’t have savings is astonishing.

Equally as the disbelief that majority do have savings. But only one is met with "no idea how the others live".