A new study has found that almost half of Britons don’t consider themselves to be good with money, saving just 4% of their annual salary.
Photo: PA
Whilst three fifths of Britons would love the bank account of that of a celebrity (with one in five admitting they’d likely be bankrupt within three years), others would instead love the chance to hang out with other celebrities and be able to do good and help those in need.
The team behind money-saving website www.MoneySavingHeroes.co.uk conducted the research. The participants were quizzed about their financial habits and what they would do if they were to all of a sudden receive a large monthly income.
When asked if they were good with their money and regularly saved, almost half stated that they were not and did not. When asked how much of their annual salary they saved a year, those who weren’t good with money and weren’t good at saving stated they saved roughly just 4% of their annual salary, whilst those who deemed themselves good with money admitted they saved roughly 16% of their annual salary.
Asked how they would cope with a bank account the size of a hot, current celebrity, two thirds admitted that they’d go out and blow a lot of the money instantly. What’s more, 18% admitted that they’d likely find themselves bankrupt from overspending, with three years found to be the average length of time Britons think it would take them on a celebrity salary before they were to go bankrupt.
It was found that Britons would blow the money largely because ‘I’ve never had that much money to play with’ and ‘It would be nice to buy all the things I’ve always dreamed of’.
Respondents were then asked what they would likely spend a lot of money on from the get go, with the following five found to be the most popular:
- Travel the world – 73%
- Buy multiple homes around the world – 54%
- Purchase expensive cars – 42%
- Dine out and drink at expensive restaurants and bars – 36%
- Buy a boat/yacht – 28%
What’s more, 26% confessed they’d spend a lot of money ensuring they could gain access to the places where celebrities and the wealthy get to hang out.
Furthermore, just one in three admitted that they would put some money into savings and one in five stated that they would give enough money to their closest loved ones so that they no longer had to worry about money again.
Finally, when asked if the giant-sized bank account is the top thing they’d love to have from leading a celebrity lifestyle, 61% admitted that yes it was. Others, however, instead chose ‘meeting/hanging out with other celebrities’ and ‘being able to help others who need your help, i.e. charities’.
George Charles, spokesperson for www.MoneySavingHeroes.co.uk, commented:
“It’s probably a good thing that not all of us are millionaires as there are clearly not enough financial advisors to go around. For someone who does come into a lot of money when they’re not used to it, always seek advice and guidance and look for ways to invest your money. For us regular folk, it never hurts to put money away each month into a rainy day fund so that we have a backup pot of money should we need it in an emergency, or likewise if we want to treat ourselves to something nice.”