New research reveals the average amount Brits have saved by age group, offering a benchmark for your own savings goals. The findings show that while the average savings figure is £19,214, a significant portion of the population has far less stashed away.
Key Findings
According to a survey by fintech company Finder, 39% of UK adults have £1,000 or less in savings, and a quarter have £200 or less. Furthermore, one in six (16%) have no savings at all, which equates to around 8.9 million people.
Savings by Age Group
For those aged 18-24, the average savings amount is £2,699. In this age group, the average annual salary for those working 30 hours or more per week is between £24,440 and £32,292, according to Forbes.
Moving up to the 25-34 bracket, the average savings jump significantly to £11,023. However, only 23.4% have more than £10,000 in savings, while 46.3% have £1,000 or less. Average wages here range from £32,292 for those up to 29, to £39,988 for those aged 30-34.
For ages 35-44, the average savings are £13,379. Only 23.9% have more than £10,000 saved. Earnings average £39,988 for those up to 39, and £43,500 for those aged 40-49, according to ONS data.
In the 45-54 age group, the average savings are £12,452. Average salary drops to £40,500 for those aged 50-59. According to Forbes, wages peak in your late 30s and mid-40s due to career advancements, experience, and skills. After 50, pay may decrease due to early retirement, part-time work, or ill health.
For those aged 55 and over, savings see a significant jump to £33,420 on average. Only 27.3% have less than £1,000, and 36.8% have over £10,000. From age 60, the average annual salary for those still working is £36,036.
Expert Tips to Boost Savings
Matthew Sheeran, money saving expert at Money Wellness, suggests avoiding pressure to save large amounts immediately. He says, 'even a pound or two a day can make a difference over time if you stick with it.'
For beginners, he recommends the envelope method, also known as 'cash stuffing', which involves withdrawing your earnings as soon as you get paid and setting clear limits on spending categories like food, travel, and socialising.
Another tip is to save what you didn't spend: 'If you get a discount on something, or you cancel a subscription, move that money straight into savings. You didn't miss it, so it's the perfect time to build your emergency fund.'
If you're struggling, he highlights that help is available, 'whether you're struggling with debt or just want a bit of help getting your finances back on track.'
