Australians struggling to pay bills and have an emergency fund, says NAB

aussies struggling to save

The cost-of-living continues to rise and a new NAB research says that many people find saving challenging due to debt repayments, bills and everyday spending. 

It found that one in three Aussies have high financial stress, as a result.

“Australians want to save but actually doing it is another thing because of household expenses and everyday activities,” said NAB group executive of personal banking, Rachel Slade.

NAB surveyed about 2,000 Aussies adults in late 2021 and its data shows that people living in NSW, ACT and Tasmania were the ones experiencing most financial stress. Many who are struggling with financial hardships asked for loans from friends and family to help them manage, while more than 40% of all adults reported a decline in their savings due to said hardships. 

Those who did manage to save had an average account balance of about $1,000 or more during the three month period the survey was conducted. According to popular finance guru, the Barefoot Investor, the ideal amount in an emergency fund should be about $2,000.

Tips on how to start saving for an emergency fund

Saving doesn’t have to feel like a chore, you can actually make it into a game. Having a savings challenge usually doesn’t require depositing large amounts of money into an account, which is a big plus. 

Something like the $5 Saving Challenge where you transfer $5 into your savings every time you see your everyday account balance end in a 5 can help your savings slowly grow.

Alternatively, you can take a good look at your finances to explore where you can save money–which could mean switching energy providers or your car insurance. Even if it’s just saving a couple dollars here and there, don't forget that every little bit helps in the long run. 

“Cancelling unused subscriptions can be done at the click of a button, while shopping around for better deals on key bills can save you hundreds of dollars a year,” said Slade.

If you’re one of the many Australians trying to figure out how to have better savings check out our tips and guides page to get you started. Also check out our savings account comparison table below to find which account is best for you.

Savings account comparisons on Mozo - last updated 13 August 2022

Search promoted savings accounts below or do a full Mozo database search . Advertiser disclosure
  • Mozo Expert Choice Badge
    Boost Saver with Go Account
    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    2.30% p.a. (for $0 to $250,000)
    0.05% p.a.(for $0 and over)
    Yes up to $250,000

    Bonus rate of 2.30% is made up of the Base rate of 0.05% and Bonus rate of 2.25%. Deposit $2,000 each month and make 5 eligible payments from your Go Account. If you are between 18 and 25 deposit $1,000.

    Enjoy a high interest savings account bundled with an everyday spending account. No monthly fees. And new customers can get a welcome bonus of 5,000 bonus Virgin Money Points (ends 31/08/22. Offer criteria & T&Cs apply).

    Details
  • Mozo Expert Choice Badge
    Life - 18-29 years old
    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    2.75% p.a. (for $0 to $30,000)
    0.65% p.a.(for $0 and over)
    Yes up to $250,000

    Make 5 card purchases/month with a Westpac Choice account and min 1 deposit and higher balance than at the beginning of the month in Life savings account.

    Are you 18 - 29 years of age? Earn up to a generous 2.75% p.a. variable interest on your savings when you spend and save with Westpac. For individuals aged 18 to 29 on Westpac Life account balances up to $30k.

    Details
  • Save Account
    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    2.35% p.a. (for $0 to $250,000)
    0.10% p.a.(for $0 and over)
    Yes up to $250,000

    Deposit at least $200 to either Spend or Save account from an external source each month.

    Earn up to 1.85% p.a in interest. No monthly fee to pay. Split your money in up to 10 Save accounts. Track your progress on each of your save accounts. Instant access to cash via PayID and Osko. Deposits guaranteed up to $250k per customer.

    Details
  • Mozo Expert Choice Badge
    Bonus Saver Account
    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    2.10% p.a. (for $0 to $250,000)
    0.05% p.a.(for $0 and over)
    Yes up to $250,000

    Bonus rate when at least $20 is deposited each month and five Visa Debit transactions are made each month using linked Glide transaction account.

    Winner of a Mozo Experts Choice Award 2022 in the Regular Saver category. No monthly account fees. Available only on balances up to $250,000.

    Details
  • Grow Saver
    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    1.80% p.a. (for $0 and over)
    0.05% p.a.(for $0 and over)
    Yes up to $250,000

    Make at least 1 deposit per month and no more than 1 withdrawal, including internal transfers or external payments. Must enable the Lock Saver feature. 32 days notice for withdrawal and T&C's apply.

    Pay no monthly fees. Set-up to 9 personalised savings accounts and choose to lock as many accounts as you like to earn the maximum variable interest rate. With just 32 days notice to access your money again, your future self will thank you.

    Details

^See information about the Mozo Experts Choice Savings Account Awards

Mozo provides general product information. We don't consider your personal objectives, financial situation or needs and we aren't recommending any specific product to you. You should make your own decision after reading the PDS or offer documentation, or seeking independent advice.

While we pride ourselves on covering a wide range of products, we don't cover every product in the market. If you decide to apply for a product through our website, you will be dealing directly with the provider of that product and not with Mozo.