Factors affecting individual expenditure

Level of income/wealth

An individual with high income will usually spend more than a person whose income is less.

Family size and commitments

An individual with a large family will end up spending more from his income.

Rates of interest

When interest rates are high people usually spend less as saving are a more attractive option.

Availability of/knowledge about savings schemes

Availabiliy and knoweledge of saving schemes will result in individuals spending less and saving more.

Confidence in banking system 

A strong banking system will attract more savings and hence less spending.

Personal needs/lifestyle

Lifestyle of an individual is a major determinent of how much is spent. Individuals following lavish lifestyles will end up saving less and spending more.

Health care

Individuals having health issues or paying heavy health insurance premium is ought to have more expenditure as compared to a person having less or no health issues or no health insurance premium liabilties.

Education

People usually with higher education will end up spending more compared to a less educated person. The prime reason being an educated person will have varied interests.

Future expectations

Individuals who feel more insecured about their future will save more for the 'rainy days' and hence have will spend less.