The study, conducted by AMP Bank, also reported that one-third of Aussies had less than $1,000 in savings while one in five aren’t saving any of their monthly income.

More than a quarter (26%) don’t even have a savings account.

The research found people’s wages are being eaten up by everyday living costs, bills, school and daycare fees.

Males on average are better off than their female counterparts, having nearly 20% more money saved, while nearly a quarter of women (23%) and nearly a third of 18-24 year olds have less than $250 to their name.

Need somewhere to store cash and earn interest? The table below features savings accounts with some of the highest non-introductory interest rates on the market.

Provider

02000$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]More details
No monthly fees
  • Download the App to open your account
  • Get better visibility of your spending within App!
  • Deposit $200 per month to activate bonus interest
No monthly fees

Save Account

  • Download the App to open your account
  • Get better visibility of your spending within App!
  • Deposit $200 per month to activate bonus interest
010000$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]More details

Savings Maximiser (<$100k)

    010000$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]More details

    Boost Saver

      Important Information and Comparison Rate Warning

      All products with a link to a product provider’s website have a commercial marketing relationship between us and these providers. These products may appear prominently and first within the search tables regardless of their attributes and may include products marked as promoted, featured or sponsored. The link to a product provider’s website will allow you to get more information or apply for the product. By de-selecting “Show online partners only” additional non-commercialised products may be displayed and re-sorted at the top of the table. For more information on how we’ve selected these “Sponsored”, “Featured” and “Promoted” products, the products we compare, how we make money, and other important information about our service, please click here. Rates correct as of May 28, 2024. View disclaimer.

      AMP Bank CEO Sally Bruce said that since the global financial crisis, there’s been a decline in the savings rate.

      “A number of factors have contributed to this including rising housing wealth until recently at a time of weak wages growth and ongoing increases in the cost of living. And with interest rates at record lows it’s little wonder Australians don’t have anything spare to put away, and what they do have saved is only growing slowly,” Ms Bruce said.

      “For most Australians, having a pot of money to use when times are tough or to fund the nicer things in life such as a new home or a holiday can have a huge impact on health and morale as well as your wallet.”

      Get interested in your interest rate

      It can (quite literally) pay to be educated on your interest rate. The findings from AMP show that those who know what their interest rate is saved twice as much each month, compared with those that don’t know their interest rate.

      Around 44% of Australians believe a higher interest savings account would get their savings back on track, while 41% believe a salary increase would also help.

      Ms Bruce said it’s important for people to understand the benefits of interest.

      “The more we can encourage Australians to take an interest in interest, the more they will be able to grow their wealth and reduce the impact of unexpected costs or afford the extra things in life they want,” Ms Bruce says.

      The research coincides with the release of the Lowy Institute Poll for 2019, which reported that the majority (65%) of Australian adults remain generally optimistic about the economy and Australia’s economic performance in the world over the next five years.