Some 3.7 million Dutch people can't afford to build up savings
Some 3.7 million Netherlands residents aged 18 or older have no money left at the end of the month and can therefore not build up savings. That amounts to a quarter of Dutch adults, down from 30 percent two years ago, AD reports based on a representative survey by Panel Inzicht among 1,000 people.
Nearly a third of Netherlands residents say they are saving less than a year ago, mainly due to increasing costs for food, transportation, and housing. Still, around 64 percent think they have sufficient savings to cover unexpected events, slightly more than two years ago.
The fact that more people can save is due to wage increases, according to Arjan Vliegenthart, director of the financial information agency Nibud. The minimum wage increased in January and July, and many collective labor agreements included wage increases.
Over a third of Dutch people saw their income increase last year, men more often than women. One in ten saw their income decrease, women more often than men. Vliegenthart doesn’t have an easy explanation for the gender disparity. “However, it’s still true that women are generally more financially vulnerable. Women often work less when children arrive, and the gender wage gap remains.”
Despite higher incomes, just under half of Dutch adults worry about the future, the study found. Almost a quarter said that receiving a bill causes them stress, especially young adults. 42 percent of young adults, aged 18 to 34, also said that they cannot buy a home for financial reasons.
Vliegenthart is not surprised by this. “The generation now entering the job market starts with student debt, is less likely to get a permanent contract, and homes are unaffordable. Fortunately, we currently have a tight labor market, and they generally earn a decent living, but the housing costs, in particular, make it difficult for young people to make ends meet. So that’s an important task for the new government.”
