WHY INDIANS SAVE SO MUCH WHILE EUROPEANS SPEND MORE FREELY: INDIAN LIVING IN POLAND EXPLAINS THE MONEY MINDSET

An Indian man who has been living in Poland for nearly a decade observed how Indians save money as if their lives depend on it, while Europeans spend freely. In a video shared on Instagram, a user named Our Unscripted Life shared observations that are bigger than a casual rant. He wasn’t talking about the cultural shock, weather or food, but about money. And why do Indians hoard it while Europeans spend it?

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Why do Indians save so much money?

“Why do Indians save so much while many Europeans seem more relaxed about money? After living in Europe for almost 10 years, I’ve realised it’s not just a mindset—it’s the system,” the Instagram user said. According to him, the difference really boils down to how money is utilised for four things: healthcare, education, retirement and weddings.

Healthcare

In most European countries, sickness doesn’t really trigger panic. One can simply walk into a hospital without thinking about whether they can afford the medical expenses. The system absorbs the cost. The state has already extracted that expense through taxes. “Europeans pay for their social security and healthcare, and it covers them in emergencies,” the man observed. But he drew a contrast with India. “In India, people save for emergencies!”

While government hospitals often cover medical expenses, more complicated treatment could still affect a family’s finances. Private healthcare dominates, and it is not always accessible to everyone. Ordinary people worry about going bankrupt if a medical emergency arises. So, saving for a rainy day is part of the financial plan.

Education

Most European countries have free public schools. India has public schools too. But most people just don’t send their children there. “Europe’s public schools are mostly free, while in India, parents have to send their children to private schools, which cost a fortune!” the man said.

Most feel that sending their children to public schools is a gamble. So, somewhere down the line, private schooling becomes mandatory. Fees pile up, while savings deplete. Children become expensive before they’re even born, really! So Indians save for education as well.

Retirement

The Indian man reveals the stark contrast between retirement in Europe and his home country. “Europe’s social fund gives peace of mind, but in India, people work tirelessly to save for their retirement fund.”

That difference is crucial. In Europe, the state collects contributions and promises a return. It’s not perfect, but it is highly functional. People can actually imagine a life after work that doesn’t involve poverty.

Things are different in India. A formal pension structure exists mostly for government employees. So, everyone else saves or dies working.

Weddings

Indians are obsessed with big, fat weddings, where thousands take part. Often, one’s self-worth is tied to the grandeur of the wedding they throw. For parents, saving for the wedding is important. “Indian parents spend an insane amount on weddings, unlike in Europe,” he said.

So, saving money for weddings also makes sense in India. In Europe, generally, weddings are more intimate, and people don’t really spend a fortune.

Internet reacts

The video has gone viral on the internet, with many commenting on how people have to overcompensate when the system fails. It led to a larger discussion about India’s taxes, public services and the financial responsibilities many families carry.

“Indians vote for the government which closes free schools, do not spend on healthcare and closes pensions. Indians love the government which talks about caste, religion, temple and vegetarian food; these are the important topics for Indians which affect their day-to-day life,” one Instagram user commented.

Another pointed to the hefty taxes in India: “Worst part is, India is one of the nations which pay heavy taxes and in return do not even get a proper roadway.”

A third pushed back, citing the population as a possible problem. “True, but do you know the main reason? It’s our population. Our government can’t support such a big population.”

Others pointed to the strong culture of saving and supporting parents in India. “The concept of savings and sending money to parents is only found in very few countries like India. Especially the 90s kids have this bigger responsibility of being the sole breadwinner of the family, yet managing a whole family from a meagre salary.”

Saving money is no crime, but constantly living in survival mode could be. Life is meant to be lived, not just survived.

Disclaimer: This article is based on an individuals observations and personal views. The comparisons are generalisations and may not represent the experiences or financial systems of every Indian or European