Building a strong personal finance portfolio is struggling for young people these days, clashing with their minds and their financial future. According to WFG Review, setting the development of a strong personal finance plan is best at an early age, even though there are a number of young people who are not confident that they can do this.
WFG Review continues, explaining those in the millennial generation were the most likely to lack confidence in their financial strategies compared to any other age group, according to a report from CEB. Overall personal finance happiness fell nearly 10 percent since the beginning of the year for millennials.
“Millennials want their banks to provide the same kind of customer experience that they receive through more agile consumer technology companies they rely on in other parts of their life,” said Peter Aykens, managing director of CEB. “They are looking to manage their personal financial lives in the same way they manage their digital and social lives. Right now, with some exceptions, non-banks are building superior offers.”
Two years ago, millennials were the most confident in their financial institutions than any other generation, the report explained. However, this changed markedly in this time, bringing them to the same level of pessimism as Generation X. Due to this, young people are less likely to ask for financial advice from a professional, while they also unlikely to create a budget plan or strategize for their financial future.
Many young people prioritize saving money
Even though some young individuals may not have financial confidence, they are taking savings more seriously. According to a report from Wells Fargo, 55 percent of millennials are saving money. When looking at genders, 61 percent of men noted that they are putting money away, while 50 percent of women noted the same.
“The silver lining of the recession that started over five years ago is that a majority of millennials get that saving is a necessity and even equate it with ‘surviving’ tough times,” said Karen Wimbish, director of retail retirement at Wells Fargo. “But millennial women are starting out their working lives making far less than men and, as a consequence, are saving less and feeling less contentment at the start of their working lives.”
Even with this, there are other financial issues present for young people. The report noted that 42 percent of those polled are more concerned about debt than any other aspect of their finances. Another 40 percent felt that their debt levels were too much to deal with properly.
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