8 in 10 Singaporeans set aside at least 10% of salary for savings

An average Singaporean saves 27% of his/her salary.

Eight out of 10 Singaporeans set aside at least 10% of their salary for their savings, a report from OCBC, using The Financial Wellness Index, showed.

Covered by this survey were 2,051 working adults in Singapore between the ages of 21 to 65. The period covered was from 17 August to 6 September. 10 pillars were used as basis, which include savings and gambling habits, regular investing, protection from emergencies, regular investing and financial reviews, excessive speculation, borrowing money, spending beyond means, and managing debt.
 
The survey saw that the average Singaporean saved 27% of his or her salary. This also pointed to more Singaporeans feeling confident about their funds when overcoming a crisis and sustaining themselves financially for six months if they went jobless at 53% and 54%, respectively. 

Fewer Singaporeans also had unsecured debt at 24%, when compared to 30% last year, whilst more were able to pay off their housing loans at 69% from 62% in the previous year. 

On top of this, fewer Singaporeans also feel worried about their financial situation, from 41% in 2020 to 39% in the current year. 

Another takeaway from the survey also shows younger millennials investing more and in a wider range. 

A jump to 86% from 64 in 2020 showed the biggest change compared to other age groups. The Index also saw that millennials in their 20s in particular, were foraying more into foreign stocks and cryptocurrencies. 

Millennials’ investments in Singapore stocks were down 40% this year compared to 43% from the previous, whilst unit trust investments also echoed this activity at 29% from 31% from the last year.

On the other hand, the number of Singaporean millennials investing in foreign stocks and cryptocurrencies was at 20% and 16%, respectively.