Hong Kong families need at least $6.63m to cover dependents in case of death: survey

On the other hand, childless couples only need $3.29m in savings.

In the case of a sudden death, married couples with children need at least $6.63m to sufficiently cover the needs of their children and spouse, according to a survey from Citibank cited by South China Morning Post which highlighted the challenges of living in costly Hong Kong.

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This amount is significantly decreased to $3.29m for childless couples and the $3.5m needed by retirees. Working singles need only save $3.11m to cover for their needs.

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The survey also revealed that income levels are insufficient to cover the amount of inheritance they intend to bequeath in the future which mimics the similar pattern with married couples with children grappling with the widest shortfall at $4.65m. This is largely due to the many big-ticket household expenses like education that comes with building the nest. In fact, the survey revealed that families must save $17,300 a month on average for their children.

The gap notably narrows for couples who don’t have children at $2.11m on average. Singles who are still part of the workforce face a shortfall of as much as $2m whilst the gap is the narrowest for retirees who appear to be the most financially stable at $1.05m.

Citi surveyed 1,224 residents with $300,000 to $1m in investment assets in December.