Do you know how much money people say they need to earn in 9 countries to feel financially secure? Find out!
How much money do you need to feel financially secure? Did you know that it not only depends on your earnings, your debts, your expenses, the price of things, your savings and whether or not you have children, but also which country you live in?
For many, this feeling of finacial security comes with knowing you can cover your essential expenses, afford a comfortable lifestyle, and plan for the future without constant worry. But how much you actually need to achieve this state of mind where you live? The answer, surprisingly, isn’t a one-size-fits-all figure.
Recently, CNBC did an International Your Money Financial Security Survey conducted by SurveyMonkey where adults in nine countries – the United States, United Kingdom, Germany, France, Spain, Switzerland (Swiss franc), Singapore (Singapore dollar), Australia, and Mexico (peso) – were asked how much money, at a minimum, they’d have to make to feel financially secure and could choose from four levels of annual income.
Here’s how much money people around the world say they need, per year, to feel financially secure:
| United States | United Kingdom | Germany | France | Spain | Switzerland (Swiss franc) | Singapore (Singapore dollar) | Australia (Australian dollar) | Mexico (peso) |
| $50,000: 33% | £50,000: 64% | €50,000: 53% | €50,000: 45% | €50,000: 57% | ₣50,000: 20% | $50,000: 12% | $50,000: 26% | $500,000: 46% |
| $100,000: 43% | £100,000: 19% | €100,000: 29% | €100,000: 30% | €100,000: 27% | ₣100,000: 54% | $100,000: 31% | $100,000: 50% |
$1,000,000: 25%
|
| $500,000: 13% | £500,000: 4% | €500,000: 9% | €500,000: 13% | €500,000: 8% | ₣500,000: 16% | $500,000: 30% | $500,000: 14% |
$5,000,000: 13%
|
| $1,000,000: 3% | £1,000,000: 3% | €1,000,000: 1% | €1,000,000: 4% | €1,000,000: 3% | ₣1,000,000: 3% | $1,000,000: 22% | $1,000,000: 2% |
$10,000,000: 8%
|
| I’ll never feel financially secure: 8% | I’ll never feel financially secure: 10% | I’ll never feel financially secure: 9% | I’ll never feel financially secure: 8% | I’ll never feel financially secure: 5% | I’ll never feel financially secure: 7% | I’ll never feel financially secure: 4% | I’ll never feel financially secure: 9% |
I’ll never feel financially secure: 8%
|
While it gives you an idea of the picture, it can’t fully capture it. After all, each currency has its value, for example $100,000 USD is about £79,008 GBP. And, the cost of living and average wages vary from country to country too.
Conversions from USD to GBP were done using the OANDA conversion rate of 1 UDS to 0.79 GBP on April 5, 2024. All amounts are rounded to the nearest one.
What Has an Impact on How Much Money You Need to Feel Financially Secure?
While income is certainly a crucial factor, financial security isn’t solely determined by your paycheck. Here are some of the other factors:
- Cost of living: cities with high housing costs, transportation expenses, and other necessities will naturally require a higher income;
- Debt: carrying significant debt, like student loans or mortgages, can significantly impact your ability to save and invest for the future;
- Lifestyle: your desired lifestyle choices will influence your financial needs. If you crave frequent travel, expensive hobbies, or a large home, you’ll likely need a higher income than someone content with a simpler lifestyle;
- Healthcare costs: medical bills can be a major financial burden, especially in countries with limited public healthcare systems. And also potential health insurance costs;
- Family size: the number of dependents you have will impact your expenses. Those with children will need to account for additional costs like childcare and education.
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