The best millennial finance stories of the past fortnight. Find out why social media may be impacting millennials’ financial security and why older millennials are the most stressed out generation. Plus, are their spending habits conducive to a healthy financial future?
Millennials may be unduly influenced by social media. A poll by insurer Admiral found that 40% of millennials admitted Instagram or Facebook had played a part in deciding which car they purchased. The research also found that two thirds of this age group were reliant on credit to buy their car, raising fears that millennials could be putting their financial security at risk by spending beyond their means.
Following recent research that millennials are still behind older age groups at the same age when it comes to wealth, this piece speaks to 30 somethings who have felt, and continue to feel, the effects of the financial crisis. While all age groups were hit, the millennial age group suffered disproportionately from the 2008 crash because of the debt they took on for education, cars and credit cards.
According to Bloomberg, Gen Zs will soon outnumber millennials. The analysis, which uses 2000/2001 as the cut off date (in contrast to 1996 which is the boundary this publication tends to use), found that Gen Zs will make up 32% of the global population from 2019. This compares with 31.5% of millennials. This presents new challenges for marketers who are still working out how to appeal to millennials.
A new study by Bankrate has found that older millennials are the most stressed out age group. According to the survey, 77% of older millennials in the US – those aged between 28 and 37 – are losing sleep over money, work and relationship issues. 43% also say they have lost sleep specifically over money issues, with nearly a quarter anxious about credit card debt. This compares with around a third of the general population, who report having lost sleep over money issues.
This piece looks at millennials who are currently buying homes and considers what they look out for when purchasing. It looks at how a growing number of millennials are purchasing less expensive houses and setting aside part of their budget to renovate.
This article considers the spending habits of millennials particularly in light of the difficulty many face getting on the housing ladder. It balances evidence that a quarter of millennials admit to spending more per month on coffee than on retirement saving with research from financial adviser Charles Schwab that found that 81% of millennials were confident in their ability to meet financial goals. However, it also raises concerns that millennials aren’t spending on things that help them build their wealth in the long term, like homes and retirement saving.