A latest survey by Moneyview highlighted the savings inclination among people today for achieving financial security and realizing personal aspirations. The survey revealed that more than 2 out of 5 respondents prioritize savings indicating a growing awareness of financial stability.
Those with higher income levels exhibit a stronger inclination towards savings. Notably, 72 per cent of respondents with incomes above Rs 50K are actively saving, compared to 51 per cent of those earning less than Rs 30K.
Further, people above 30 years tend to save almost 25 per cent of their income while those below 30 years save only 10-15 per cent.
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Share of Wallet
The survey further highlighted that almost 50 per cent of the total salary of people earning below Rs 25,000 goes towards their household expenses, 25 per cent towards EMIs, and 10 per cent towards savings and investments with limited disposable income at hand.
Those earning above Rs 25,000 spend 35 per cent of their salary towards household expenses and 15 per cent towards EMIs and contribute at least 25-35 per cent towards their investments or savings.
However, a notable 63 per cent of the survey respondents save monthly, indicating a disciplined approach to financial planning.
Further, geographically, people from Tier-2 cities have shown maximum interest in savings compared to those in other cities. As much as 83 per cent of the surveyed respondents in Tier-2 cities are saving every month.
Purpose of Savings & Investments
A significant 75 per cent people have specific saving goals, with varied timelines. Around 3 out of 10 have no specific timeline.
The survey reflects diverse purposes for savings, with future property acquisition ranking highest at about 21 per cent, followed by education and emergency funds at 17 per cent followed by marriage expenses and child education.
Another interesting trend witnessed was about safer investment instruments used by people with lower incomes.
Lower-income groups often opt for safer options like savings accounts even though interest in mutual funds and equity markets is increasing. Respondents with higher incomes prefer bank FDs, insurance (as a secure mode), and mutual funds, the survey added.
