Most Lithuanians don’t have ‘financial airbag’

The survey has also shown that Lithuanians are trying to consciously manage their finances – more than half agreed with the following statements: “before buying something I carefully consider whether I can afford it”, “I pay my bills on time”, “I carefully follow my finances”, “I establish long-term financial objectives and aim to fulfil them”.

However, only 46 percent of the polled households indicated they had a certain “financial airbag” and would manage to cover unexpected higher expenses amounting to one month’s income without borrowing or turning to relatives or friends for help. Better prepared for unexpected expenses are men, people with higher education, representatives of households earning the highest monthly income (over EUR 489) and residents of cities.

55 percent of the respondents indicated they had financial objectives. Most of them are oriented towards purchasing real estate (16 percent) and a vehicle (11 percent). People pursue their financial objectives by saving money and cutting expenses (37 percent each).

When analysing saving peculiarities, it transpired that Lithuanians mostly save in cash (45 percent) or in bank accounts (43 percent). Meanwhile, 28 percent said they were not saving actively in the last year.

The survey was commissioned by the Bank of Lithuania and carried out on 18 August – 10 September 2015 by public opinion and market research company Spinter Tyrimai.