BOSTON (CBS) – We discussed the Boomers earlier in April but what about their kids? The Gen Xers, the Millennials. And there are a lot of them.
The demographics get a bit fuzzy as to an exact date for when one generation starts and another ends. George Masnick wrote an article, “Defining the Generations” and placed the Gen Xers between 1965 and 1984. And the Millennials were born over the next 20 years.
These kids are better educated than their parents according to the Census Bureau. They have the highest education levels of any age group.
The core values and personality traits of Gen Xers include self-reliance, work family balance, informality, individualism and they are quite skeptical. Because this generation grew up spending less time with their parents and saw them as workaholics, they became the independent, balance-desiring people they are today.
They often earn more money than their parents and know more about money than their parents.
Most of these kids were raised privileged. Many grew up with a room of their own, a TV, a computer and maybe a phone in their room. When they got out on their own, they wanted the lifestyle they had left at home. That lifestyle came with a high price tag.
Many are homeowners because of that wonderful period of easy credit and low interest rates. But that easy credit is a big problem. Many have a debt level of 50% and higher. The loss of a job or a major illness could derail them very quickly.
Their retirement savings in many instances is nonexistent. This age group has not done enough to plan for their retirement. They are banking on inheriting a bunch of money from their parents, the Boomers. Boy are they in for a surprise!
They need to stash some cash in a rainy day fund and they need to get serious about debt reduction. 40% are spending more than they earn and 60% have no emergency fund.
On Saturday May 17th Dee will be the keynote speaker at The Money Conference which is a FREE one-day event presented by The Office of Massachusetts State Treasury and the Massachusetts Financial Literacy Trust Fund, in conjunction with local cities and community partners to help households build their financial knowledge and improve their financial behavior through quality financial education.
Saturday May 17, 2014
8:30 am – 3:00 pm
Everett High School
100 Elm Street
Everett, MA 02149
Questions? Contact Sheila O’Loughlin at (617) 367-6900.
Do you feel your need for financial education and empowerment is urgent? You are not alone! Americans are saving less, spending more and carrying credit card debt over from month-to-month, suggesting that the painful financial lessons of the recent past may quickly be forgotten.