Keeping track of one's expenditure is a critical component of financial planning. Businesses, governments and even financial institutions do it. Yet according to a recent survey by Smartwealth, one in two adults in Singapore do not know how much they spend each month.
Among those surveyed, adults aged 18 to 24 appear to be most guilty of this, with only 43.6% keeping track of their monthly expenditure. While this could perhaps be attributed to youthful naivety, Smarthwealth notes that it is imperative that this younger generation learns to pay more attention to their expenditure, which would likely lead to having more savings that will yield greater returns in the long run.
Meanwhile, adults aged 25 to 34 are most likely (52%) to keep track of their monthly spending. Smartwealth suggested that this could be due to having more financial commitments such as getting married, having kids or buying a home.
The age group with the next highest proportion of people who keep track of their monthly expenses were those aged 55 and above, most of whom would be facing retirement in the near future.
The survey also found that 71.9% of adults who track their monthly spending do not usually overspend, highlighting the importance of keeping track of one’s finances.
For full findings of the study, click here.
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