In a country as prosperous as Australia, it's easy to assume everyone is riding the wave of economic success. However, a recent social media series has peeled back the curtain to reveal a stark reality: the wealth divide in Australia is more pronounced than many might think.

An 84-year-old man's revelation of his $2.3 million in savings has become a lightning rod for discussions about wealth inequality. The property app Copoist, which helps Aussies save for their home deposit while their property is being built, initiated a series of asking people about their savings. The responses were eye-opening.

A savings account balance of $2.3 million was disclosed by an 84-year-old Australian man, highlighting a significant wealth divide. Credit: @coposit_street / TikTok

The elderly gentleman, who chose not to disclose the methods behind his financial success, simply stated he had $2.3 million. This figure alone is staggering, but it doesn't account for any property or assets he may own, which could push his net worth even higher. Online reactions ranged from disbelief to envy, with comments like 'This is crazy! Who has the means to save?' and 'Must be nice.'

But what's more telling is the contrast between his savings and those of others, particularly women, who participated in the series. A 73-year-old woman reported over $100,000 in savings, a 75-year-old had over $70,000, and a 64-year-old had $61,000. Meanwhile, a 51-year-old man had over $500,000, and another 75-year-old man boasted $2 million. The disparity in savings between genders sparked a significant conversation, with many pointing out the apparent gap: 'How come men have millions and women cannot even have half a million? Mind-blowing.'

Financial comparison website Finder corroborates this divide, reporting that as of December 2024, the average Australian had $40,000 in savings, but a staggering 43 per cent of people had less than $1,000 to their name. Men generally saved more money than women, with the average Aussie woman having $42,664 in cash savings compared to $50,479 for men. Monthly savings also differed, with women saving an average of $617 compared to men's $854.

The Finder's Equal Pay Day Report 2024 highlights the hurdles women face in achieving financial parity, including taking time off for childbirth (23 per cent), opting for flexible jobs to care for family (20 per cent) and the industries or careers they are in (17 per cent).

A money expert, Rebecca Pike emphasises that financial security is still part of the Australian dream and that education is the key to achieving it. She advises that understanding personal finance basics, such as budgeting, tracking spending, and saving effectively, is essential. Pike also suggests that growing money doesn't always require complex strategies or significant capital; simple, consistent habits can make a significant difference over time.

Pike recommends being proactive about money habits and not settling for low-interest savings accounts for those working towards retirement savings. Comparing savings accounts for the best interest rates while being mindful of any fees and balance limits is crucial.

The 84-year-old's admission has prompted others to share their savings stories, many of which are less rosy. From a twenty-something with only debt to a 32-year-old owing money and an 18-year-old with just $4 to their name, it's clear that the wealth gap is not just a statistic but a daily reality for many Australians.

As members of the Seniors Discount Club, it's important to reflect on our financial health and the broader economic landscape affecting our community. Whether you're comfortably retired or still planning for the future, understanding the wealth divide can inform our choices and the advice we pass on to younger generations.

Credit: TikTok​

Key Takeaways

• An 84-year-old Australian man has disclosed a savings account balance of $2.3 million, which underscores a significant wealth divide in the country.
• A social media series by property app Copoist, asking Australians about their savings, has highlighted the disparity between genders and age groups.
• Finder's research indicates that the average Australian woman saves significantly less than the average Australian man, with many factors impacting women's earning and saving capacities.
• Financial expert Rebecca Pike emphasises the importance of financial education and proactive money habits, especially in building retirement savings, highlighting the need for high-interest savings options while being wary of fees and balance limits.

We invite you to share your thoughts and experiences with savings and retirement planning. How do you feel about the wealth divide in Australia? What strategies have you found effective in managing your finances? Your insights could be invaluable to fellow members navigating their financial journeys.

 

[HelenB55]

Why don’t they delve into all our Politicians bank accounts and reveal their amounts?

But like Paul Murray says:
“Nothing to see here”

 

[cblayney]

He probably still lives in the basic house he bought many years ago before it was compulsory to have 4 x 2 with ducted air, a pool etc. Also before it was common to have travelled overseas at least a few times before you were 25. He might have also worked in the same job for 30 years starting at the bottom.
Times have changed.

 

[Andrew]

Waste Not. Want Not.

 

[JustJane]

I’m Bloody hell! My “savings” account has <$50.

 

[VicCiCi]

My auntie died at 105 . She was worth 2.4 million. She never had kids so it was shared between 14 of us. We were all very grateful as it helps to get by.

 

[ozieagle]

Go to your local KMart or Target and see that a huge amount of floor space (I guess 30% min) is devoted to women's fashions. Men's much less.

 

[Trina G]

You cannot compare yesteryear with today. Yes post WW2 were boom years. No use complaining about boomers as we didn’t ask to be born during boom times. Our needs were simple and less complicated. We didn’t need McMansions with 4 bedr, 2 bathrooms and every other luxury you can think of. But one bright side is the inheritance the kids of boomers will get one day.

 

[Bill MacL]

Go to your local KMart or Target and see that a huge amount of floor space (I guess 30% min) is devoted to women's fashions. Men's much less.

Yep. Women are targeted to buy every fashion trend that comes around, men wear the same stuff until it falls off.

 

[Morgans Orchard]

He probably still lives in the basic house he bought many years ago before it was compulsory to have 4 x 2 with ducted air, a pool etc. Also before it was common to have travelled overseas at least a few times before you were 25. He might have also worked in the same job for 30 years starting at the bottom.
Times have changed.

Totally agree with you.When I was first married we rented and saved deposit to buy our own home . He could never work in the same job 2 years Was the limit He had to have Top brand new car every 2 years . I worked 5 nights each week and paid off home loan and cars.He divorced me after 20 years of marriage traded me in for younger woman Now I own my own unit and have over 6 figures in the bank . He rents housing department unit has only pension to live on. NO TOP CAR. Me, never had licence in my life. Friends we know still married ,never moved etc occasionally changed to better jobs . Very comfortably off So as you say it’s your lifestyle as you make it,

 

[gordon1940]

You cannot compare yesteryear with today. Yes post WW2 were boom years. No use complaining about boomers as we didn’t ask to be born during boom times. Our needs were simple and less complicated. We didn’t need McMansions with 4 bedr, 2 bathrooms and every other luxury you can think of. But one bright side is the inheritance the kids of boomers will get one day.

To ” Live in the past” is unhealthy. Cherish the good memories but don't sadden yourself by comparing with today.

 

[Dynomite]

Interesting!

 

[Veggiepatch]

Go to your local KMart or Target and see that a huge amount of floor space (I guess 30% min) is devoted to women's fashions. Men's much less.

Try a Best and Less store. About 5% is devoted to menswear while the women's BRA section alone is twice as big.

Thankfully, the men's BRA section was non-existent....

 

[My Opinion]

I am now 76. When I was young it was not considered important for a girl to get a career as she would only be leaving it for a family. It was a long time before I was even able to get superannuation. This I believe why many women do not have as much in savings.

 

[Craftingnonna]

The bottom line is that we woman like spending money, well most os us do. As for me, I begrudge spending money. Here are some tips, stop going to a cafe’ for that expensive coffee, at the supermarket compare prices, sometimes the the larger jar of peanut butter is better value than the smaller or maybe buying 2 smaller have the better value, make a budget in that budget allocate $100 a week to go in the bank automatically, and forget it. You’d be surprised how fast that account grows. Now I can hear everyone say where am i going to get an extra $100 to save make it $50 then or $10 the point is put something away. The habit should start when you get your first job. My first saving experience was at school we would get 1 shilling a week to put in our school bank account, we didn’t get pocket money, and we all had one of those iconic commonwealth bank money boxes at home for the spare halfpennies. Don’t ask how old I am I won’t tell you.

 

[Towing]

People including baby boomers who have never married, who worked until they were 65 y.o, never smoked
drunk or gambled and only had budget holidays, it is interesting how much you can put into super. Basic 3 bedroom, 1 small bathroom houses that would have be about the equivalent of about $6,000.00 in the 1950s or $20,000.00 in the early 1980s on a smaller block are now worth about $700,000.00 - some a lot more especially as blocks of land were large compared to now. Sell your large home and move to a 1 or 2 bedroom home or unit and you could put the balance into super or just into a bank account.

 

[waggadragon1]

he may have all that money but guess what he will probably be the richest person in the cemetary

 

[Kevin. A.]

It is also down to your mind set. If you put the discipline in and save religiously then you can achieve anything. When I started my first job, I had two older sisters who had been working for a number of years well before me. I saved up $40 every week from my pay and I saved up for my first car. When I had saved $1000, I went looking for my first car and purchased a secondhand car (67 holden special). My two sisters first reaction was "Where did he get $1000 from?" My mother told them I had saved the money every week whereas my two elder sisters could not wait to spend their paycheck before they got it.

 

[Kevin. A.]

The bottom line is that we woman like spending money, well most os us do. As for me, I begrudge spending money. Here are some tips, stop going to a cafe’ for that expensive coffee, at the supermarket compare prices, sometimes the the larger jar of peanut butter is better value than the smaller or maybe buying 2 smaller have the better value, make a budget in that budget allocate $100 a week to go in the bank automatically, and forget it. You’d be surprised how fast that account grows. Now I can hear everyone say where am i going to get an extra $100 to save make it $50 then or $10 the point is put something away. The habit should start when you get your first job. My first saving experience was at school we would get 1 shilling a week to put in our school bank account, we didn’t get pocket money, and we all had one of those iconic commonwealth bank money boxes at home for the spare halfpennies. Don’t ask how old I am I won’t tell you.

Yes, I remember having the manager from the commonwealth Bank visit our school and hand out the tin money boxes in the shape of the bank. That is what got me started, I would put some of my pocket money in the box. We would go around the housing estate on the weekend with an old Billycart we would go door to door asking if people had any old bottles they did not want. When we had filled the bottle crates, we would take them to our local bottle dealer (with dads car trailer) and deliver our empty bottles. That was how we got our pocket money.

 

[Veggiepatch]

This old coot is nothing but a capitalist pig.

In all probability, a self entitled BMW driver who runs into a Gippsland pub, killing numerous patrons and gets off scot free.

I know the same type of person. He still has the first halfpenny he ever possessed and nearly died of a broken heart during the 2008 Global Financial Crisis when his "investments" lost over $100000.

He was dubbed the "Bundaberg Jew" who charged his daughter 25% interest on a $2000 loan!