Rainy day denial: Aussies have insufficient emergency savings
Millions of Aussies are unprepared if a financial emergency strikes, according to new research by Finder.
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.
The research shows 1 in 5 (20%) admit they don't have enough emergency savings and are finding it 'very difficult' to save.
Nearly 1 in 10 (9%) don't have a 3-month savings buffer but are actively saving towards it.
A further 8% say they don't think a 3-month emergency fund is necessary.
Alison Banney, money expert at Finder, said millions of households are vulnerable to an unexpected event like job loss or illness.
"One sudden unexpected financial setback – like a redundancy or a health scare – could throw their whole life into financial chaos.
"Those without savings could be forced to rely on debt which could quickly leave them in a worse position."
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.
Banney said even putting away a small amount consistently can add up over time and provide a crucial buffer.
"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.
"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."
Banney urged Aussies to set up an automatic transfer into a separate high interest savings account.
"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.
"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."
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.
The research found nearly a third (32%) have more than 6 months of expenses saved.
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 |  |
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.
Sources
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