often maligned Gen Y are actually better savers than both Gen X and the Baby Boomers. These headlines were based on the RaboDirect 2013 National Savings and Debt Barometer report. When it comes to which generation is saving regular amounts each month, according to the report the results are:
- 29% of Gen Y
- 25% of Gen X
- 19% of Baby Boomers
From my experience with all three generations this just didn’t sound right. I certainly consider myself a saver – I direct my savings into extra mortgage repayments and extra super contributions every month.
I thought I’d check with Rabodirect how they referred to savers in the report. Their answer is that they are referring to a dedicated savings account. So while I think of myself as a saver – I’m not according to this report.
I advise plenty of baby boomers I consider as savers as they only draw what they need to live from their super and leave the rest invested in their fund. But in this report they aren’t savers either.
Don’t think I’m trying to say Gen Y aren’t good savers – I just think saying they are the best in the nation is a bit of a stretch!