Inflation has recently fallen in Germany, while incomes are rising at the same time. Nevertheless, consumers are unsettled by the poor economic environment.
According to a survey, fewer people in Germany are worried about their own finances than a year ago. In the Yougov survey for Weltsparen, the investment platform of the Berlin fintech Raisin, a good one in three respondents (35 percent) said that they were often worried about their financial situation.
In a comparable survey by the market research company Opinion Matters, also for Weltsparen, from the previous year (August 2023), every second respondent (50 percent) expressed concern about their money matters.
Inflation has recently fallen in Germany, while at the same time the incomes of many employees and pensions have increased. Nevertheless, consumers are unsettled by the poor economic environment. Many people are currently saving money for times of crisis, as a recently published survey commissioned by Postbank showed. The reasons are higher interest rates and consumer caution due to the economy.
For the representative survey for Weltsparen, 2,156 people were surveyed online at the end of September. The results are representative of the resident population in Germany aged 18 and over. In the previous year’s study from August 2023, which was also representative, 5,018 adults in Germany were interviewed online.
Younger age groups are particularly concerned: 43 percent of 18 to 24 year olds and 47 percent of 25 to 34 year olds expressed monetary concerns. For those over 55, it is only 30 percent.
Gloomy prospects for older people
When asked about the prospects for the coming year, however, the picture is reversed – the older, the more pessimistic. Those over 55 are particularly skeptical, with 36 percent of them not believing there will be any improvement. Among 35 to 44 year olds it is only 21 percent and among 25 to 34 year olds it is only 15 percent. Across all age groups, one in four people is not optimistic: 25 percent of those surveyed rate their financial situation for the next year as unstable or somewhat unstable.
In the study, a quarter of those surveyed reported health problems due to financial worries, compared to 37 percent in the previous year. Those aged 25 to 34 are particularly affected, 41 percent of whom suffer from such symptoms.
Younger people exchange ideas more
The way in which consumers communicate about their own financial situation also depends on their age: as they get older, respondents talk less about finances with friends, family and relatives. 51 percent of people over 55 years of age hardly or not at all discuss the topic. In contrast, 49 percent of 25 to 34 year olds actively seek conversations with close people.
Source: Stern
