Survey shows increased financial literacy
The Federal Government and the ANZ have co-released a survey which found that people are increasingly confident with the control of personal finances, with a greater number of households reporting increased regular savings.
The ANZ Survey of Adult Financial Literacy in Australia 2011, the fourth such survey released since its inception in 2003, assists policy makers, advocates and financial service professionals in understanding personal financial matters.
“The Survey found that groups with lower levels of financial literacy include people younger than 25, women and households with incomes of less than $25,000 and savings and investments of less than $2,000,” Parliamentary Secretary to the Treasurer David Bradbury said at the reports release.
“However, the Survey also found that, compared to the last Survey in 2008, more people felt in control of their finances and were trying to save on a regular basis, particularly in the aftermath of the GFC.”
Parliamentary Secretary for Community Services, Julie Collins, said the Government was also investing in innovative programs that assist vulnerable households and encourage a greater awareness of personal finances.
The key findings of the report include:
- 77% of people said they are saving regularly – the highest level of any of ANZ’s four financial literacy surveys conducted since 2002.
- 81% of people reported being in control of their financial situation, up 4% from the previous survey.
- 1 in 5 mortgage holders reported not being in control of their finances, with a third of households on less than $65,000 but with mortgage more than $300,000 either fluctuating in and out of control or always out of control financially.
- People are more aware (74%) of short-term fluctuations in investments.
- 42% said they did not trust the advice of finance professionals, measured for the first time this year.
- 73% of people have not identified how much they’ll need to live on when they retire, unchanged from 2008
The full report can be found here