An analysis found that the balance in salaried workers' checking accounts drops to about 57% of their pay within a day of receiving it, and only 3% remains after a month. Those in their 20s saw balances shrink faster than other age groups.
In its "NH Trend+" released on the 27th, NH Nonghyup Bank analyzed checking account balances of customers who had at least 1,000,000 won after tax transferred as salary from January to June this year. According to the analysis, the average balance one day after pay was deposited was 57% of the pay, falling to 35% after five days and 22% after ten days. After a month it was only 3%.
The younger the age group, the faster the pay left the account. The account balance of those in their 20s fell 25% in a day compared with payday, and after a month had dropped to about 48% of the payday level. Those 60 and older kept 90% even after a day, and still had 76% after a month.
The share of customers whose balance falls to 1,000,000 won or less after payday also showed a large gap between generations. Based on ten days after payday, 61.6% of those in their 20s had a balance of 1,000,000 won or less. On the same basis, the share fell with age: 44.1% for 30s, 37.6% for 40s, 31.4% for 50s and 23.0% for those 60 and older.
The gap in average balances by age group is interpreted as contributing to this difference. Average balances were smallest for those in their 20s at 750,000 won, followed by 1,180,000 won for 30s, 1,560,000 won for 40s, 2,160,000 won for 50s and 3,560,000 won for those 60 and older.
The median monthly salary of customers receiving salary transfers was 3,710,000 won. By age group, those in their 50s were highest at 4,690,000 won, followed by 4,460,000 won for 40s, 3,640,000 won for 30s, 3,080,000 won for 60 and older and 3,030,000 won for 20s.
As for payday, the 25th of each month accounted for the largest share at 42.1%, followed by the 10th (13.3%) and the 21st (13.2%).