For a generation that has already seen two recessions, it’s no surprise that many millennials are struggling financially.
According to a new Morning Consult poll, the generation has been left worrying about their financial future at rates unmatched by other age groups.
Millennials worry about financial-freedom
The State of Consumer Banking & Payments research from Morning Consult highlighted the challenges that millennials confront. Millennials are extremely or fully anxious that money will prohibit them from getting the things they want in life, according to 45 percent of the poll’s hundreds of respondents.
A comparable amount, 46%, say their lives are controlled by their finances, while 38% say they are frequently or constantly in debt. Each response is at least ten percentage points higher than the responses of previous adult generations in the US, according to The Charlotte Observer via MSN.
The margin of error for the survey is plus or minus two percentage points. The Pew Research Center defines millennials as those born between 1981 and 1996. This generation comes after Generation X but before Generation Z.
Millennials should invest
According to a survey of over 1,000 individuals conducted by Student Loan Hero, over half of those polled are unhappy or nervous about their financial situation. And 49% of millennials said their financial problems have a negative impact on their mental health, as per Forbes.
It makes sense when you consider that millennials joined the workforce just after the 2008 crisis, which took nearly a decade to recover from, according to the National Bureau of Economic Research. Many millennials are striving to make the most of what they have, where they are, as a result of the Great American Affordability Crisis and the expenses of the COVID-19 crisis, which resulted in higher unemployment rates and lower earnings. And it isn’t pretty for a lot of people.
According to a 2015 poll by the Insured Retirement Institute and The Center for Generational Kinetics, a sizable portion of millennials (26 percent) are in such bad financial health that they’re betting on winning the lottery or inheriting money to save for retirement.
Even among those who are planning for retirement, a staggering 70% believe they will be able to live well on $36,000 per year, despite the fact that the average annual costs for those aged 65 to 74 are substantially higher, according to the US Census Bureau.