Hand to mouth Despite the good intentions, more than a quarter of those surveyed are still living hand to mouth - admitting they wouldn't survive a month if their income dried up.
On average, New Zealanders could survive for four months on what they had saved, and 26 per cent said they could get past the six-month mark, the survey shows.
"Most Kiwis continue to be savvy financial managers, and for this reason they realise the value in savings," Chisnall says. "However, after meeting their day-to-day expenses, many Kiwis still do not have the discretionary income available to save."
The financial pinch on households is only intensifying as the Consumer Price Index continues to rise, making careful financial decision-making "critical".
Further research commissioned by online bank RaboDirect found only 23 per cent of Kiwis actually follow a savings regime, despite almost three quarters claiming they put money aside.
"While Kiwis generally have the best intentions with their money, and almost a third (28 per cent) of the population have made budget plans, generally New Zealanders are not able to take control of their money and achieve their savings goals," RaboDirect New Zealand general manager Mel Templeton says.
"Of more concern is that a third of those surveyed couldn't survive on their savings for more than two weeks without assistance."
The study suggests Kiwis have little formal knowledge on money matters and our spending habits have left us cash poor, she warns.
We also struggle to find a balance between scrimping and splurging.
"Don't throw all the good stuff in life away in order to save. Find your balance."
Understanding how much we have and how much we owe is crucial to managing our money, Templeton says.
What will we do with our savings? So what are the plans of those who have squirrelled money away for a rainy day?
According to the MasterCard survey, New Zealanders are putting their pennies away for retirement (47 per cent, up from 44 per cent in the first half of 2013), travel (33 per cent, up from 31 per cent) and investments (31 per cent, up from 28 per cent). Buying or renovating the home is still also high on people's intentions (29 per cent down from 33 per cent).
Source: MasterCard