Financial wellbeing is top of mind for many Australians right now, with 26% saying they will put getting on top of their finances ahead of travel plans in 2023 and 17% looking to prioritise it over weight loss or a resolution to cut down on social media, new NAB research has revealed.
To make their financial wellbeing a reality this year, eating out (41%) and keeping up with the latest fashion (40%) would be the first expenses Australians said they would be willing to give up.
Despite the rising cost-of-living dominating headlines, nearly one in five Australians don’t see money management as a priority for them right now, the survey showed.
“It’s no surprise many people are willing to put other traditional new year resolutions aside to prioritise getting to grips with their money,” said Paul Riley, NAB executive everyday banking. “Many of our customers are telling us they’re making changes given the current cost pressures.”
Findings also showed that:
- About 13% of Australians had no financial goals at all and about 7% weren’t prepared to cut any spending
- Compared to those in regional cities or rural and remote areas, fewer people living in capital cities were prepared to cut their spending, particularly when it came to entertainment, beauty products and treatments, ride share services, and gym memberships
- Women were more willing to cut spending on eating out than men (45% v 37%), fashion and clothes (44% v 35%) and major household items (36% v 30%)
- More young women than young men were willing to stop or slow spending on eating out, fashion and clothes or buying a new phone, TV, or laptop
- A lot more women aged 30 to 49 were willing to cut back on eating out and beauty products and treatments, while for men they were willing to sacrifice buying a second car or home improvements
Riley said young Australians were taking a keen interest in their finances too.
“About 30% of people aged 18 to 29 people say they’d sacrifice travel to get on top of their money in 2023, while about 26% say it’s more important than reducing time on social media,” he said. “This is particularly interesting given millennials and Gen Zers are digital natives who are often very driven by experiences like travel. They’re also willing to give up or reduce things they’d normally spend money on to achieve those financial goals in 2023. Eating out (46%), clothes (41%), and alcohol (40%) top that list.”
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