A university student in Sydney has opened up about his financial struggles while juggling three jobs to meet his living expenses, highlighting a growing concern among young Australians regarding savings. During a street interview with the property app Coposit, which assists first-time homebuyers, the 25-year-old shared that he has approximately $2,000 saved. He currently works at Woolworths, as well as doing housekeeping and occasional Uber rides, all while attempting to balance his university coursework.
According to Westpac data, his savings reflect a broader trend among his peers; Australians aged 25 to 29 have a median savings account balance of $2,200, although the average tends to skew higher at $19,165. This discrepancy often arises because averages can be distorted by outliers, making medians a more reliable measure of typical savings within a demographic.
Here’s a breakdown of average balances across various age groups according to Westpac:
- Under 17: Median $1,135, Average $4,769
- 18 to 24: Median $2,410, Average $13,069
- 25 to 29: Median $2,200, Average $19,165
- 30 to 34: Median $1,104, Average $21,394
- 35 to 44: Median $811, Average $29,769
- 45 to 54: Median $1,429, Average $52,836
- 55 to 64: Median $5,316, Average $87,891
- 65 to 74: Median $15,829, Average $101,004
- 75 and over: Median $31,424, Average $130,597
A concerning survey by Compare the Market revealed that one in five Australians reported having only $100 or less in savings. Furthermore, 80% stated that the rising cost of living has hindered their ability to save. Chris Ford from Compare the Market commented on the alarming statistics, emphasising that while inflation may be stabilising, it may take time for savings to catch up, noting that it can feel increasingly challenging for individuals living paycheck to paycheck to establish a financial buffer.
The Coposit video has garnered over 192,000 views on social media, with many expressing admiration for the student’s determination. Comments highlighted his commendable work ethic and resilience, with some suggesting that individuals like him represent the backbone of the economy. The demand for multiple jobs among Australians is evident, with approximately one million people reportedly juggling two or more roles, a rise from the previous record of 984,300.
In this challenging economic climate, the importance of maintaining an emergency fund equivalent to three to six months of living expenses is often recommended, yet many are struggling to achieve this goal.
