Despite their joy, not putting importance in finances does hurt the generation.
Money can’t buy happiness. Or at least, that’s how millennials feel.
Over 62 percent of millennials say they are happy despite 69 percent feeling anxious about their finances, according to bank chain Wells Fargo. That’s much better than their baby boomer counterparts, who say only personal health is more important than having enough saved up for the future.
That mindset is also translating to the workplace, where recruitment firm Robert Half says that only eight percent of 18- to 34-year-olds are unhappy with their jobs. That pales in comparison to the 16 percent of 35- to 54-year-olds and 17 percent of those over 55 who hate their jobs.
But it’s not all smooth sailing for millennials. Not prioritizing money more has its consequences for the youngest working generation.
Male millennials do better than women
When it comes to reaching certain financial goals, millennial men have the edge over women. Using the Positive Finance Indicator, which Wells Fargo says connects happiness and money, male millennials are leading the way…
- 51 percent of women and 68 percent of men say they have enough to save for future needs
- 50 percent of women and 68 percent of men say they are saving enough for retirement
- 87 percent of men and 84 percent of women feel they are able to pay their monthly expenses
But it’s not just about happiness, the two sexes also fear different things. According to a GoBankingRates story, men fear not being able to retire and losing their job more, while women fear always living paycheck to paycheck and living in debt more.
Surrendering to vices
Not caring about money changes how you use it. Instead of saving, some millennials can’t resist spending a few bucks on themselves.
Those purchases include dining out an average of five times a week and having 29 percent of the generation buying coffee three times a week, according to personal finance website Bankrate. That mindset is becoming a social aspect that draws millennials in together.
“When you’re young, there’s just a lot of temptation out there,” says Bankrate writer Sarah Berger. “A lot of younger millennials don’t have an established family structure yet and don’t have to spend money on children, so they’re going out and spending time socializing and dating, which often takes place at places like bars and restaurants.”
Not all millennials are dropping the big bucks though. A majority of the generation would save it or pay their bills if they were given $15,000, according to Revere Bank.
A need to learn
There are perks to being financially sound and happy for millennials though. Those who are succeeding are doing much better than their struggling counterparts.
Most millennial men (57 percent) and 46 percent of women say they are happy in their job. Those who have financial success are much happier though, with 66 and 72 percent respectively working in their preferred field.
Those less well off millennials are struggling because of their lack of an education. According to The Center for The New Middle Class, 72 percent of millennials who struggle had to learn finance on their own.
While parents are far from perfect in teaching their kids, the center found they do make a difference. One-in-three successful millennials had help from their parents, compared to one-in-five who struggle.