Financial planning absent among Indians: Money9 survey

A nationwide survey conducted by Money9 suggests financial planning among Indians is weak.

The survey found 73% Indians, or three out of every four, haven’t planned their retirement. More than half the people surveyed, or 53%, save no money every month. From the balance, half the population saves under Rs 5,000 a month. Almost 60% of those who took the survey also don’t have a life insurance cover to secure their families.

In comparatively better news, more than half of the people surveyed are saving for their children’s higher education.

The Money9 Share of Wallet survey was conducted on social media across TV9 Network’s followers, with responses coming in from all parts of the country in multiple languages. A total of 16,100 participants responded to a set a multiple choice questions. The survey was conducted in January 2021.

The survey’s intent is to understand where the population is spending its money, and what expenses are they likely to incur this year. The Share of Wallet survey was designed ahead of the budget to analyse how the policy statement may cater to these worrying trends.

Here are the findings:

• 66% of those surveyed do not have a home loan
• 58% of those surveyed do not intend to buy a house this year
• 70% of the surveyed population has no car / two-wheeler loan
• More than half the population surveyed (53%) does not plan to buy a car or two wheeler this year
• Almost two out of every 5 people (37%) are keen to buy a laptop this year. Mobile phone is the second item on the shopping list (27%).
• Indians are sceptical of travelling this year. One in three people are unlikely to take a vacation (33%). Most who intend to travel will holiday in India with only 11% looking at international travel.
• More than half the people surveyed (53%) invest nil on a regular basis. From those who do, almost half save under Rs 5,000 a month
• From those who do invest, Systematic Investment Plans are the most popular (29%). Stock markets (16%) and the safer Provident Funds (17%) seem neck to neck in the race for the second spot.
• Almost three out of every five Indians surveyed (59%) do not have a health insurance cover
• Exactly on the lines of Health Insurance, almost 60% of those surveyed do not have a life cover too
• More than three quarters of the surveyed population (77%) has no retirement plan in place
• In comparative terms, the better news is that more than half the population (56%) is planning for child’s higher education
• Less than one in four (22%) have surplus cash at the end of the month

Money9, India’s only multi-lingual personal finance news platform will endeavour to bring the simplest, most usable and authentic insights to help our audience take charge of their money.