Millennials Are Good At Saving Money

A recent study by Bankrate.com found that millennials are the age group must comfortable with their savings, debt, net worth and overall financial health. In fact, 62% of millennials are saving more than 5% of their income.  In comparison, only half of those age 30+ are saving at the same rate.

Here are the full details of the study:

The Study

  • Data is based on telephone interviews with a nationally representative sample of 1,000 adults conducted in March 2016

Other Findings

  • The number of Americans saving more than 10% of their income increased to 28% (was 24% last year)
  • More than 1/5 of Americans aren’t saving anything and 21% of employed Americans aren’t putting any of their paycheck aside for emergencies or other financial goals
  • High income isn’t a prerequisite for saving
    • Saving is more prevalent among lower earners
    • A greater number of Americans who make between $30,000 and $50,000 save more than 10 percent of their income than those who make between $50,000 and $75,000

Reasons Why Millennials Are Good at Saving Money

Greg McBride, Bankrate.com’s CFA, attributes it the following:

  • Growing up during the financial crisis (“financial formative years”)
  •  “What resonates with Millennials is that markets can go down too.”

Source: Bankrate.com Financial Security Index Survey, March 28, 2016

 

Related:

How Do Millennials Spend Their Money?

6 Things That Cost Way More for Millennials Than They Did for Our Parents

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