An interesting article from Perkbox.
“The top 10 causes of financial stress
- Not having enough emergency savings for unexpected costs (56%)
- Feeling behind financially in comparison to those around me (41%)
- Feeling that I will be unable to reach future goals, e.g. buying a house (39%)
- Feeling limited in my career/salary progression (37%)
- Struggling to afford special occasions like Christmas (33%)
- Not being able to retire when I want to (32%)
- Having to miss out on events and social occasions (28%)
- Not being able to meet monthly expenses (27%)
- The fear of losing my job (24%)
- Not being able to keep up with debts (20%)”
Number 1 isn’t at all surprising, with a quarter of adult Brits having no savings at all. I like Tandem’s ‘drizzly day’ idea of a £500 emergency fund (they analysed their customers’ emergency spending which usually came under £500). That’s far more damageable than the 3 months’ savings usually suggested.
I am surprised 9 and 10 don’t rank higher. If we do go into recession, as many predict, these may well become priority.