Millennials get a bad rap. They are often portrayed as happy little snowflakes with no career path or cares in the world. So I wanted to see if there was some truth behind the argument about the way that Millennials handle debt and their careers.
I was surprised to find that Millennials on average have less debt than their Generation X or Baby Boomer parents. On average, Millennials have $22,784 of non-mortgage debt; compared to Xers with $30,344 and Boomers with $27,513. (To clarify: Millennials are aged 21-34, Gen Xers are 35-49, and Boomers are 50-70)
I find this fascinating. Based on the way Millennials are presented in the news and the ever-rocketing price of college tuition, I would have taken bets that they had at least twice as much debt as previous generations.
Upon some reflection, Millennials have experienced the financial crisis of the 2000s in a very real way. These were the teenagers having to move out of their childhood homes because their parents had been foreclosed on – these were the kids of a modern depression. Like every generation to come before Millennials, the experiences of their adolescence have shaped their adulthood.
So how are Millennials handling this adulthood? They have changed priorities. Genuine experiences and shorter stints of working may have replaced home-ownership (mortgages) and working the same 9-5 for 45 years. While many Boomers think this is contrary to ethical working, the priority shift may good for our society. Gone are the days that we pretend our career has nothing to do with who we are as people. What else do you spend 40+ hours a week doing? Focusing on education, family, community, and having a meaningful career path can only make us stronger. If these trends continue, businesses are on track to have happier and better educated employees. Just a thought…
Source: USA Today January 12-14, 2018