Baby boomers who lost part of their savings in the recession face a challenging retirement, but Millenials face the most volatile economic future. In this article, let’s see how financial certainty is clashing with the saving habits of millennials.
Though they have frequently been specified as materialistic and spoiled, the truth is many millennials feel they will not be able to achieve goals like finding their dream job, buying a house, or retiring until much later in their lives than their parents did. Clearing off their student debt has become increasingly challenging for many struggling with lay-off and low-paying jobs.
The Recession of 2008 left more than 15% of millennials in their early 20s unemployed, many still struggling to settle. This will hurt them long after they do get work.
Millennial Investment Thinking
Millennials have adopted a progressive mindset, resulting from events such as the 2008 economic crisis. Factors such as social awareness frequently play a key role in where millennials deposit their money. Many of them are preferring to follow either their own senses or go along with their friends when it comes to investment decisions, and have started to distrust the advice given to them by their parents or financial experts, whom they often view as agents working only on self-interest.
Millennial Spending Habit:
Research shows that over 40 per cent of millennials want to have the same clothes, cars, and technological gadgets as their peers and half of them desire to use a credit card to pay for their daily expenses such as food and bills. Some of them still receive monetary support from their parents.
Millennials face a lot of hurdles that will only be truly understood out of experience. Their future is more uncertain in some regards than for baby boomers. They can improve financially depending on many circumstances, including economic and political conditions. It also depends on whether they can beat the noted sense of entitlement the society has labelled upon them.