I saw this FT article which says that Europeans are saving more as a result of inflation fears. Saving rate are now higher than pre-pandemic levels.
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The article correctly states that saving during inflation is not that wise a strategy.
“Many households are trying to rebuild their financial buffers. Inflation has eroded not only their purchasing power, but also the real value of their savings.”
And in that sense the Americans are ahead, because the best way to hedge against inflation is investments.
European households hold just under a third of their financial assets in cash and deposits, compared with 12 per cent for US households, who are more heavily invested in equity and investment funds
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I thought the Americans invested by financing their credit card companies.
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I guess average statistics may hide some details.
The 12% in liquid assets in the US looks nice because really rich people have only a small fraction of their wealth in cash. In case of need, loan on non-liquid assets can be arranged. But there are millions of people with zero assets or even underwater.
In contrast, a third of assets in cash doesn’t look bad for the average household on this side of the Atlantic.
I’m retired with outgoings exceeding the incomings.
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That is the best way to be. The aim is to time the market. At the end you should owe the bank rather than the other way round.
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What does that mean exactly? Do you live off of capital gains / wealth or are you using your last savings?
I do my best to use the current fiscal environment.
My gross worth is about half of my net worth - I’m 200% invested between mortgage and margin loan. However, I’ll likely need to spend some money very soon. We’re buying furniture, we’ll be having kids and need a car, etc.
Life is not getting easier - I’ll hopefully be able to switch jobs in 2027 to earn the wages you expats are earning 
It is what it is.
According to local politics, lower than the Swiss…salaries dumping 