Prince or pauper? Millionaire Aussies still worried about paying their electricity bills
Aussies are richer than ever on paper, but we’re still feeling the pinch of household expenses, like the weekly grocery shop, mortgage repayments or energy bills, revealed a new Deloitte report commissioned by supermarket giant Aldi.
Despite the fact that for the first time, the average Aussie household now has more than $1 million in net wealth, Aldi’s Household Expenditure Report showed that 37% of Aussie families are concerned about paying bills and everyday expenses.
That number is up from 31% two years ago, likely thanks to a large chunk of household wealth being tied up in property, and is only expected to increase, up to 40% by 2019.
In the face of rising costs of living, Aussies are changing their spending habits, with the report revealing a trend toward ‘value’ driven behavior and a decrease in brand loyalty. In fact, one in four Aussies has switched grocery stores in the search for better value, which may be a smart move, as recent Mozo research showed savvy shoppers could save 25% on their Christmas grocery shop by heading to Aldi instead of Coles or Woolies this year.
Despite being willing to make these frugal changes, however, Aussies aren’t so keen to give up their “little luxuries” - even prioritising costs like Netflix or Spotify subscriptions over the weekly grocery shop.
Today, 39% of Aussies subscribe to these kinds of on-demand entertainment services, and of those, 20% said they would be more likely to cut back on car, clothing or holiday expenses than cancel their subscription. A further 12% would tighten their belt at the grocery store while just 4% would give up their Netflix or Spotify account to save.
But most Aussies can find savings in other areas anyway, pointed out Mozo Director Kirsty Lamont.
“Although cutting back on unnecessary spending is never a bad idea, if you’re looking to trim the fat on your budget, the best place to start is often the last place you think of - your bank, insurer or energy provider,” she said.
“By focussing on getting the best value deal in these areas, you can have your Netflix and a full trolley, too.”
For example, Mozo research recently found that the potential savings available by switching your energy plan have doubled since October last year in Victoria, South Australia and NSW, with up to $929 in savings up for grabs in Victoria.
If the cost of keeping the lights on leaves an ache in your wallet, head over to our Energy Cost Cruncher to find some of the best value plans around and start saving!