A recent study from the Australian Taxation Office (ATO), reveals that only one in five Australians still prefer using cash for purchases.
ATO Assistant Commissioner Matthew Bambrick said “It’s clear that there’s been a cultural shift towards cashless payments across the board, even for smaller amounts.
“Where we once saw people walk into car dealerships with cash in hand, cash has now been relegated to the morning coffee”, Mr Bambrick said.
The trend towards cashless payments is particularly evident among people under 35, who carry the least amount of cash.
Those aged 18-24 are also half as likely to request a discount for paying in cash compared to the general population.
Mr Bambrick said “the move by the younger generation away from seeking an ‘under the table’ discount is really encouraging. It indicates that a once common practice is now rare as people enjoy the benefits of being cash free.”
Additionally, cashless payments boast security benefits, by removing the risks of carrying cash and protecting consumer rights through easier record keeping.
Mr Bambrick said “The business community knows what people want, and 86% of businesses agree that most customers expect to be able to pay via electronic means.
“This research indicates that the trend away from cash will only gather pace. This is more than a passing fad. This is the way of the future.
“Particularly with the decline in minimum transaction amounts, we are likely to see more and more people carrying little or no cash at all. Most businesses already know this and we expect the rest will be there soon.”