We borrow more and more, save like never before and usually struggle with daily purchases. Do you recognize yourself? Jenny Valvein explains has mapped the Swedes’ relationship to money and gives the tips for a better private economy.
“If you control your finances, you are equipped for unforeseen changes in life. You will go a long way to spend 15 minutes of your time ”
What we Swedes save for, borrow for and put money into is, of course, individual. But there are, after all, a lot of similarities in our economic behavior, regardless of socio-economic status.
We lend mostly to the home
Lending money at an ever faster rate is one such example. In December last year, household loans had an annual growth rate of 7.5 percent. And it is above all the housing loans that contribute to the increased growth.
In total, Swedish households had joint loans of $ 3,300 billion at the end of last year. The majority of the loan amount, $ 2,696 billion, was responsible for mortgages.
But it is not only our inclination to put us in debt that unites us. Our savings do, too.
Swedish households have increased their savings significantly in recent years, Statistics Sweden’s latest Savings Barometer shows. Except for pension savings, Swedish households have spent about $ 150 billion over the past year, of which as much as $ 117 billion has been deposited into ordinary bank accounts, which in most cases have a low savings rate or offer no interest at all.
Buffer save just fine
A new survey from Mordea gives the same picture – almost every fifth Swede has over an annual salary at the bank in buffer, according to the study. Mordea’s private economist Angela Gabriel believes that this is far too much money.
“A general saving can well be lifted out of the buffer saving and handled in a better way. Partly by actually using their savings for something nice and fun, and partly by investing some in the longer term, that is, with a little more risk and a chance for better returns ”
– The challenge for many lies in knowing what to save money for. You have to divide it into long-term and short-term savings and adjust the risk level based on it. In the savings account, you should only have one buffer to use within a year or two! The rest of the money should be in the stock market, ”she says.
She recommends that anyone who wants to review their savings spend 15 minutes looking at what alternatives are available.
“There is a lot going on in the banking market today and there are many good comparison services online that you can use,” she says.
The everyday economy – a source of trouble
Perhaps wise saving can help on several fronts in everyday life. Another study that SBAB has conducted shows that about half of all couples sometimes argue about their economist, and at the top of the list come conflicts that affect food costs in the household.
Although one should take this type of research with a pinch of salt, there are reasons to consider how the private economy actually affects everyday life and life at large.
“If you look at your finances, you are equipped for both planned and unforeseen changes in life, and I really want to emphasize that it is not that difficult,” says Erma Parson at SBAB.
Quick facts – Swedish economy:
We borrow like never before. In December last year, household loans had an annual growth rate of 7.5 percent. In total, Swedish households had joint loans of $ 3,300 billion at the end of last year. The majority of the loan amount, $ 2,696 billion, was responsible for mortgages.
We save a lot – and wrong. Except for pension savings, Swedish households have spent about $ 150 billion over the past year, of which as much as $ 117 billion has been deposited into bank accounts with little or no savings rate. There are better options!
We argue about the everyday economy . A survey from SBAB shows that half of all couples argue about their finances and that it is the food costs in the household that lie at the top.