Janice R. Andrews
A recent survey conducted by Singlife has revealed that 44% of Singapore residents believe they will never achieve financial freedom, citing insufficient income and mounting debts as primary obstacles. The survey, which included 3,000 Singaporeans and permanent residents aged 18 to 65, highlights a growing concern among the population regarding their financial future.
The findings show that while 29% of respondents are optimistic about eventually reaching financial freedom, 27% claim to have already achieved it. On average, respondents believe they need to save SGD 612,000 (approximately USD 468,000) to be considered financially free, marking an 8% increase from the previous year. This figure indicates that individuals earning the median income of USD 15,500 will require 30 years to accumulate the necessary savings, a significant rise from 27 years reported last year.
The survey identified insufficient income as the main barrier to financial freedom for 53% of respondents, followed by unforeseen expenses (38%), job insecurity (32%), and debt repayment burdens (28%). Despite these challenges, more than half of the respondents (55%) express confidence in knowing how to achieve financial freedom, up from 49% in 2023.
“This year’s Financial Freedom Index shows that consumers feel an increasing difficulty in achieving financial freedom,” said Debra Soon, Singlife Group Head of Brand, Communications, Marketing, and Experience.
Additionally, the survey found that four in five participants aim to retire by age 65, requiring nearly USD 2,200 per month for living expenses. However, over 40% of respondents believe that having children will delay their retirement age and ability to achieve financial freedom by 14 to 15 years.
The results indicate a dip in sentiment towards financial freedom, with the average score falling from 60 out of 100 in 2023 to 58 this year. The 35- to 44-year-old age group reported the greatest difficulty in attaining financial freedom.
