Talking about money has always been a bit of a taboo subject, especially when it comes to savings.

Many Australians are left wondering if their savings are on track, or if they’re falling behind.

But what does the average Aussie really have in their bank account, and how can you know where you stand?

The topic of how much money you should have saved can be tricky to navigate, and the constant question remains: what’s considered a ‘good’ amount?

While some Aussies have started sharing their financial realities, confusion still surrounds what a healthy savings balance looks like.

Westpac provided a snapshot of their customers' average savings balances, offering some clarity.

Westpac reveals the average Aussie savings balance by age. Image source: Pexels/David Peterson

For example, those aged 30 to 34 had an average balance of $21,394, but the median was only $1,104.

Westpac explained that the median is a better representation of the data than the average because it isn't influenced by extreme figures.

In fact, the average can sometimes be misleading if there are large outliers at either end.

The figures varied dramatically with age, as Australians’ savings evolve with different life milestones, such as purchasing property or saving for retirement.

Westpac shared the following breakdown of savings by age.

Westpac reveals savings balances by age group.

However, the cost-of-living crisis has significantly impacted many Australians’ savings.

Finder’s Consumer Sentiment tracker revealed that nearly 40 per cent of Aussies had less than $1,000 saved in April.

This national survey of over 60,000 respondents found the average Australian had $33,345 in cash savings.

Men had an average of $42,496, while women had $23,084.

Baby Boomers had $48,374 in savings on average, followed by Gen X with $39,065, Gen Y at $26,008, and Gen Z at $13,218.

Despite these numbers, money worries were on the rise, with 77 per cent of respondents stressed about their financial situation.

Financial experts recommend aiming for a solid emergency fund to weather unexpected situations like car repairs or vet bills.

Findex financial adviser Jess Bell suggested having three months' worth of income saved up for emergencies.

‘If you had around three months' worth of income in a savings account or in an offset account, I think that’s at least comfortable to provide for emergencies,’ she said.

She also emphasised that unexpected expenses can always arise, and it’s important to be prepared for those rainy days.

‘You need to make sure you have emergency funds to provide for those contingencies that just come out of the blue,’ she added.

‘It’s making sure that you allow for when things go wrong, because they can go wrong.’

In a previous story, we explored some bold money-saving strategies that Aussies have been using to stretch their budgets.

One mum shared her extreme tactics for avoiding retail prices at all costs.

Source: Youtube/TLC​

If you're looking for more unconventional ways to save, be sure to check it out.

Key Takeaways

• Talking about savings is often a taboo topic, leaving many Australians unsure of whether their savings are on track.
• Westpac’s data showed varying savings balances by age, with significant differences between the mean and median.
• The cost-of-living crisis has left nearly 40 per cent of Australians with less than $1,000 saved, with many feeling financially stressed.
• Experts recommend having at least three months' worth of income saved as an emergency fund to cover unexpected expenses.

With so many Australians struggling to build their savings, how do you feel about your own financial situation? Share your thoughts in the comments below–we’d love to hear from you!

 

[BruceC]

What utter rubbish that 77% are stressed about their financial situation.
If so why are there record crowds at sporting events, shopping centres constantly packed, young people spending $$$$ on takeaway coffees everyday.
Airports are crazy every school holidays and music concerts are sold out etc etc etc.
When we were young and financially struggling we stayed home. Didn’t have takeaway coffee, dine out, go to concerts or go on holidays and had very little furniture which was all second hand..
And we certainly didn’t get the government handouts they get today.

 

[Suzanne rose]

What utter rubbish that 77% are stressed about their financial situation.
If so why are there record crowds at sporting events, shopping centres constantly packed, young people spending $$$$ on takeaway coffees everyday.
Airports are crazy every school holidays and music concerts are sold out etc etc etc.
When we were young and financially struggling we stayed home. Didn’t have takeaway coffee, dine out, go to concerts or go on holidays and had very little furniture which was all second hand..
And we certainly didn’t get the government handouts they get today.

I think a lot of those are using credit.

 

[Suzanne rose]

I'm happy with my finances .
Most of my kids are doing well, the four at home have good savings ,two have saved enough for deposits for a home.
Both are in good jobs and live at home rent free.

Three of my married children are paying off their houses, one is doing really good, one is ok but can't save as mortgage and groceries take all their pay. Another one is really struggling so has moved in with the sister I just mentioned. Who has a very large room downstairs with separate entrance.
She is now renting out her property. Her sister wants no rent but my daughter and hubby pays the electricity and water bill for her sister. So it's a win win for both.

 

[Hjnds]

You have to give up smoking give up drinking alcohol have no animals have one car if possible look around for cheaper insurance and look for specials for your food and create a bill paying account at the bank just for the bills and have the bank take from your account every week to cover your bills after awhile when your account covers your bills you forget about your bills because you know your bills are covered but you have to be disciplined . It works for me I’ve been working this system for many years. I hope it helps

 

[Greg350]

What utter rubbish that 77% are stressed about their financial situation.
If so why are there record crowds at sporting events, shopping centres constantly packed, young people spending $$$$ on takeaway coffees everyday.
Airports are crazy every school holidays and music concerts are sold out etc etc etc.
When we were young and financially struggling we stayed home. Didn’t have takeaway coffee, dine out, go to concerts or go on holidays and had very little furniture which was all second hand..
And we certainly didn’t get the government handouts they get today.

So you've spoken to everyone have you?
People can spend and still be concerned about their finances. They use credit if the cash isn't available, they may live week to week as they are paid, spend all the money and think about their future later.......and worry.

We are all different, not all like you.

 

[mylittletibbies]

What utter rubbish that 77% are stressed about their financial situation.
If so why are there record crowds at sporting events, shopping centres constantly packed, young people spending $$$$ on takeaway coffees everyday.
Airports are crazy every school holidays and music concerts are sold out etc etc etc.
When we were young and financially struggling we stayed home. Didn’t have takeaway coffee, dine out, go to concerts or go on holidays and had very little furniture which was all second hand..
And we certainly didn’t get the government handouts they get today.

Why, I'll tell you why. Because we didn't have credit cards.
Today's generation want everything now.
They don't know how to save. They consider concerts, trips overseas, 4WDs a necessity to take their kids to school, Even all those take away coffees are a necessity.
They don't settle for a 3x1 as a start, they want to start where their parents are now.
Ensuite, theatre room, butlers pantry, swimming pool, etc. No sheets hanging on the windows for them.
And, in most cases it is all done on credit.

A family member and wife recently flew from Perth to Sydney for a concert
Went for three days thousands spent on tickets, flights, accommodation hire car, dining out, all on the credit card.
Meanwhile they whinge and complain about being behind on their house and two car payments.
That is why people nowadays have no savings.

 

[mylittletibbies]

I'm happy with my finances .
Most of my kids are doing well, the four at home have good savings ,two have saved enough for deposits for a home.
Both are in good jobs and live at home rent free.

Three of my married children are paying off their houses, one is doing really good, one is ok but can't save as mortgage and groceries take all their pay. Another one is really struggling so has moved in with the sister I just mentioned. Who has a very large room downstairs with separate entrance.
She is now renting out her property. Her sister wants no rent but my daughter and hubby pays the electricity and water bill for her sister. So it's a win win for both.

Smart kids, you brought them up well.

 

[June E]

How do people come up with stats like this in the first place ? In my opinion it’s guess work at best, how can you say any specific age group has this much saved ?
Perhaps the people doing the survey should get a better job.

 

[Greg350]

How do people come up with stats like this in the first place ? In my opinion it’s guess work at best, how can you say any specific age group has this much saved ?
Perhaps the people doing the survey should get a better job.

By surveying people, the more the better.

 

[Vespa Girl]

Why, I'll tell you why. Because we didn't have credit cards.
Today's generation want everything now.
They don't know how to save. They consider concerts, trips overseas, 4WDs a necessity to take their kids to school, Even all those take away coffees are a necessity.
They don't settle for a 3x1 as a start, they want to start where their parents are now.
Ensuite, theatre room, butlers pantry, swimming pool, etc. No sheets hanging on the windows for them.
And, in most cases it is all done on credit.

A family member and wife recently flew from Perth to Sydney for a concert
Went for three days thousands spent on tickets, flights, accommodation hire car, dining out, all on the credit card.
Meanwhile they whinge and complain about being behind on their house and two car payments.
That is why people nowadays have no savings.

I agree with you. I would hate to see the interest charged on their credit cards that will need to be paid back.

Budgeting should be taught as a subject at school. It is impossible to know how much you need on a weekly basis if you don't know how much your expenses are.

 

[Leenie]

What utter rubbish that 77% are stressed about their financial situation.
If so why are there record crowds at sporting events, shopping centres constantly packed, young people spending $$$$ on takeaway coffees everyday.
Airports are crazy every school holidays and music concerts are sold out etc etc etc.
When we were young and financially struggling we stayed home. Didn’t have takeaway coffee, dine out, go to concerts or go on holidays and had very little furniture which was all second hand..
And we certainly didn’t get the government handouts they get today.

What utter rubbish that 77% are stressed about their financial situation.
If so why are there record crowds at sporting events, shopping centres constantly packed, young people spending $$$$ on takeaway coffees everyday.
Airports are crazy every school holidays and music concerts are sold out etc etc etc.
When we were young and financially struggling we stayed home. Didn’t have takeaway coffee, dine out, go to concerts or go on holidays and had very little furniture which was all second hand..
And we certainly didn’t get the government handouts they get today.

Exactly we never relied on government handouts, as there weren’t any, if we wanted something we saved for it first ,so never owed money , something people don’t do these days.

 

[mylittletibbies]

How do people come up with stats like this in the first place ? In my opinion it’s guess work at best, how can you say any specific age group has this much saved ?
Perhaps the people doing the survey should get a better job.

How do you think?? They do surveys of large and varied groups of people
Take note of bank surveys of people's savings in their accounts and also records of people's debts.
This then gives them the average amount from which they deduce the mean amount.

I agree with you. I would hate to see the interest charged on their credit cards that will need to be paid back.

Budgeting should be taught as a subject at school. It is impossible to know how much you need on a weekly basis if you don't know how much your expenses are.

Budgeting is the only way to manage your finances.
My ex husband had no idea how to manage money. If there were no bills one particular week then he would just blow his whole pay. A week or so later he'd be carrying on about how could they expect you to be able to pay the house payment, car payment and electricity bill all in one week, dah!! Of course, you could always go to the races and back a winner. Nope, that didn't work. Better go to the pub to drown his sorrows.
Hence he became the ex.
I've always budgeted and saved and I may not be the wealthiest person in town but I own my home and have reasonable savings behind me.
I am grateful to my mum for teaching me the value of money and how to budget.
You are right. Money management and budgeting should be taught in school, from a young age. Much more important than some of the other things being taught.

 

[mylittletibbies]

Exactly we never relied on government handouts, as there weren’t any, if we wanted something we saved for it first ,so never owed money , something people don’t do these days.

You are right. But that doesn't mean that the statistics are wrong, it just proved why they are right.

 

[Sherril54]

I don`t know who is right or who is wrong (with statistics) but what I do know is that when I was young I did not come from a family with much money. The idea was that when you started working, you saved as hard as possible to get what you needed. Government subsidies were almost non-existant, you joined a private health (MBF) and when children arrived you could apply for a small endowment. Now over the years there have been massive changes, lots of Government subsidies, credit cards, insentives to spend, spend, spend!! I do think most young people are living beyond their means, otherwise how do they afford expensive cars, holidays, massive home loans etc. We don`t have much money in savings at all, and no superannuation, we do live O.K. but we are still very much of the mindset that you keep an eye on the finances. P.S we also invested in our children, who I think are doing well financially, although at times think that their spending is over the top. You`ve got to remember that to-day the prices of everything are much higher than the cost of living many years ago.

 

[Macarj]

I'm happy with my finances .
Most of my kids are doing well, the four at home have good savings ,two have saved enough for deposits for a home.
Both are in good jobs and live at home rent free.

Three of my married children are paying off their houses, one is doing really good, one is ok but can't save as mortgage and groceries take all their pay. Another one is really struggling so has moved in with the sister I just mentioned. Who has a very large room downstairs with separate entrance.
She is now renting out her property. Her sister wants no rent but my daughter and hubby pays the electricity and water bill for her sister. So it's a win win for both.

I'm happy with my finances .
Most of my kids are doing well, the four at home have good savings ,two have saved enough for deposits for a home.
Both are in good jobs and live at home rent free.

Three of my married children are paying off their houses, one is doing really good, one is ok but can't save as mortgage and groceries take all their pay. Another one is really struggling so has moved in with the sister I just mentioned. Who has a very large room downstairs with separate entrance.
She is now renting out her property. Her sister wants no rent but my daughter and hubby pays the electricity and water bill for her sister. So it's a win win for both.

Our house has 2 separate wings my daughter and 3of our grandkids live in the west wing we live in the east wing there is a 2 car garage in the middle we don't charge them rent it is great to have the 3 grandkids on our property