76% of respondents in Estonia and 78% of respondents in Lithuania gave a positive answer, according to results of SEB Bank’s survey in Baltic States.
Youngsters often save money for big purchases, housing and cars. Some of the respondents also mentioned that they busily save up money for wedding.
The proportion of youngsters who save up money for something specific is the smallest in Latvia – only six out of ten respondents admit doing that. Priorities differ among residents of different Baltic States. For example – Latvians most often save up money for big purchases (computers, mobile phones, etc.). 18% of respondents in Latvia save up money for those goals (21% in Lithuania and 23% in Estonia). The second most important purchase Latvians save up money for is housing. 12% of Latvian respondents, 22% of Lithuanian and 13% of Estonian respondents save up money for that. Buying a car is the third most important priority for youngsters in Baltic States – 8% of Latvians, 22% of Lithuanians and 10% of Estonians save up money for that.
Estonian youngsters enjoy travelling – 16% of respondents save money for travel (7% in Latvia and 15% in Lithuania). Education is a priority for 9% of Lithuanian, 5% of Latvian and 4% of Estonian respondents. What is also interesting is that 0.5% of Latvian respondents save money for wedding (3% in Lithuania).
SEB Bank’s social economy expert Edmunds Rudzitis notes: ‘It is good to develop the habit of saving money at an early age. Life changes rapidly nowadays: new goals keep surfacing one after another. The habit of making savings can help gather funds for the future of your children and personal retirement’.
People who often make savings should know ins and outs in the world of investment and finances. Results of the survey show, however, that many young people lack adequate knowledge. 20% of respondents in Latvia, 18% in Lithuania and 32% in Estonia noted they would like to try investing money. The majority of young people in Baltic States, however, believes that it is too complicated to get engaged in investments (30% of Lithuanians, 28% of Estonians and 25% of Latvians believe this).
‘This kind of attitude among young people can be explained with lack of motivation to acquire such knowledge. The majority of youngsters aged 18 – 25 (65% in Latvia, 46% in Lithuania and 30% in Estonia) who are part of 2nd stage pension level admit having no idea on how their pension funds are made. They don’t remember their chosen pension plans and where their money goes. Only 6% of Latvian youngsters carefully follow their pension savings (20% in Estonia and 18% in Lithuania). Timely and reasonable savings help people accomplish new life goals. This is why it is recommended to divert at least 10% of income to savings,’ – concluded the expert.