Rainy day denial: Aussies have insufficient emergency savings
Millions of Aussies are unprepared if a financial emergency strikes, according to new research by Finder.
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A Finder survey of 1,034 Australians revealed almost 2 in 5 (37%) – equivalent to 7.9 million people – don't have enough cash in savings to cover 3 months of essential living costs.
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The research shows 1 in 5 (20%) admit they don't have enough emergency savings and are finding it 'very difficult' to save.
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Nearly 1 in 10 (9%) don't have a 3-month savings buffer but are actively saving towards it.
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A further 8% say they don't think a 3-month emergency fund is necessary.
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Alison Banney, money expert at Finder, said millions of households are vulnerable to an unexpected event like job loss or illness.
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"One sudden unexpected financial setback – like a redundancy or a health scare – could throw their whole life into financial chaos.
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"Those without savings could be forced to rely on debt which could quickly leave them in a worse position."
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While 37% of Australians don't have an emergency fund to cover 3 months of living expenses, the average Aussie has $43,650 in cash savings according to Finder's Consumer Sentiment Tracker, highlighting a gap between the haves and have nots.
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Banney said even putting away a small amount consistently can add up over time and provide a crucial buffer.
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"The idea of saving 3 to 6 months worth of expenses can seem daunting to Australians who can't even afford an unexpected $1,000 emergency outlay.
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"Building an emergency fund is possible. Even $20 a week adds up to more than $1,000 in a year, and that's before you include any interest earned on the cash."
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Banney urged Aussies to set up an automatic transfer into a separate high interest savings account.
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"There are great savings accounts available that pay a decent rate without making you jump through hoops. These accounts would be ideal for an emergency fund.
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"With the festive season around the corner, now is a great time to trim any unnecessary spending. From cancelling subscriptions to getting cheaper health insurance cover, see where you can divert any savings into that emergency fund straight away."
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On the bright side, Finder's research shows 17% of respondents have 3 months' worth of savings stashed away, while 14% can cover between 4-6 months of living costs.
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The research found nearly a third (32%) have more than 6 months of expenses saved.
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Does your household currently have enough savings to cover at least 3 months of essential living expenses in case of an emergency (e.g. job loss, unexpected illness)?
| No, and we are finding it very difficult to save | 20% |
| No, but we are actively saving towards that goal | 9% |
| No, I don't believe it's necessary | 8% |
| Yes, 3 months | 17% |
| Yes, 4-6 months | 14% |
| Yes, more than 6 months | 32% |
| Source: Finder survey of 1,034 respondents, August 2025 |  |
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Methodology
- Finder's Consumer Sentiment Tracker is a monthly recurring nationally representative survey of more than 60,000 respondents.
- Figures in this release are based on 1,034 respondents from August 2025.
- The Consumer Sentiment Tracker is owned by Finder and operated by Qualtrics.
- The survey has been running monthly since May 2019.
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Sources
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