"The overall optimism in Indian households has decreased as compared to year 2014. Indians are concerned about building their financial future and have a lot of expectations from the government," Principal Retirement Advisors Managing Director Sudipto Roy said, quoting the study titled 'Principal Financial Well Being Index in India 2015'.
Except Chennai, the study revealed that majority of the respondents from 10 cities the survey covered were concerned about the health of the economy.
The study was conducted along with research firm Nielsen across 11 tier-I and II cities among 1,491 respondents.
About 36 per cent of the respondents said they were extremely worried about home loan interest rates, while only 11 per cent said they were not at all worried.
Further, 69 per cent respondents felt prices for household items would go up in the coming year.
Household expenditure accounts for 43 per cent of the total income earned, savings and investments account for 40 per cent, while loans take up the remaining 17 per cent, the study said.
It said 63 per cent respondents were not planning a holiday next year, which is slightly more than 2014, and 71 per cent respondents felt they will either spend the same or less on festivities.
A majority of respondents had a positive outlook towards their personal finances, with most stating that they have good insurance coverage, are in control of their financial situation and are making good progress towards long-term goals, it added.