In the event of a sudden loss of income, over half of families in Estonia could not get by for more than three months, the results of a study conducted by Swedbank's Institute for Finances and the Estonian Institute of Economic Research (EKI) show.
The results of the study were presented by Swedbank Institute for Finances director Kati Voomets and EKI director Marje Josing.
"In conducting such a study for the first time, we made a number of interesting discoveries abou Estonians' financial planning," Voomets commented. "For example 92 percent of Estonian families plan their financial matters, however more than one third of families have encountered financial difficulties during the past year."
The study was conducted in March of this year, focusing primarily on the population's satisfaction with family incomes, financial planning habits, the existence of a savings buffer, spending decisions as well as awareness of a spouse or partner's income.
Half of families living without enough savings
According to the results of the study, Estonians' financial security is not good. In the event of a sudden loss of income, such as the loss of a job, 57 percent of families could not get by for more than three months, while ideally families would have enough savings to get by without income for a period of three to six months.
The study also revealed that half of families plan their budgets by memory, and that 70 percent of people are aware of the size of their spouse or partner's income.
Josing noted that many people could benefit from advice and assistance in planning their budget.
Income satisfaction has decreased in recent years, down eight percent to just 52 percent compared to 2012. Dissatisfaction with one's income was recorded even among the highest income brackets, however.
Editor: Aili Vahtla