Are millennials the “lost generation” or have they only experienced minor setbacks that they’ll overcome eventually? Reports continue to highlight that this demographic is underemployed, indebted and in financial disarray, and the latest poll restates what so many others have noted.
According to a new USA Today/Bank of America survey on Millennial money behaviors, millennials viewpoints on personal finance are far different than the reality of their current situation, something that has flummoxed researchers.
For instance, the poll discovered that millennials believe they have superb financial habits, but they feel concerned about their financial situation because they lack the necessary savings. Also, millennials say they’ll be better off than their parents, but many of them still rely on financial assistance from their family. Finally, millennials report they do an excellent job living within their means, but they still live paycheck to paycheck.
Here are some of the specific findings from the new study:
Savings
More than two-thirds (69 percent) of millennials maintain a savings account, but most have less than $5,000, while 41 percent are concerned and stressed that they’re not putting enough money into them. Fewer than one-third say they are good or excellent at saving, and a fifth haven’t begun saving at all.
Ostensibly, the older a millennial gets the more worried they are about their savings. The older side of millennials (26 to 34) are focused on savings, while those 18 to 25 hone in on their careers.
Living at home
As noted, a considerable number of millennials depend on their parents for monetary aid. More than one-third report receiving help to cover their day-to-day expenses, such as groceries and mobile phone bills.
Twenty percent of those 26 to 34 years of age report getting help from their parents, while 52 percent of millennials 18 to 25 receive assistance from their family. Moreover, 69 percent of millennials 26 to 34 note they have a lot of friends who garner financial help from their parents.
Success
How does a millennial define success? According to the poll, 70 percent of millennials depict success as being able to afford anything they wish. Forty percent say it’s having a career that does good things, and less than one-quarter (24 percent) said it was getting to the top of their profession. Just 15 percent say making a lot more money than their parents.
The poll was conducted with 1,001 millennials between Oct. 9 and 20.
