According to a study commissioned by LHV and conducted by Norstat, Estonian residents' savings have decreased in recent years. This has led many to plan to utilize their upcoming income tax refunds for day-to-day expenses rather than saving or investing them. The study highlights a shift in financial behavior among residents, with a significant portion relying on tax refunds to cover everyday costs.

The survey found that only 26% of participants intended to save or invest their tax refund, with the majority choosing to allocate the funds towards immediate financial needs. This trend underlines the economic pressures faced by many Estonians, reflecting broader trends of reduced savings and increasing personal financial strains. The importance of understanding these behaviors is pivotal as it may influence future economic strategies and financial advisory services.

The implications of this finding suggest a necessary conversation about financial literacy and the need for promoting savings and investment behaviors among Estonians. Financial institutions and policymakers should take note of these insights to foster a culture of saving and to create solutions that encourage better financial decision-making, particularly in challenging economic times.