Those who have seen the U.S. economy take a rollercoaster ride over the last few decades likely know a thing or two about personal finances. However, the newest generation getting home loans, auto loans and slowly taking over the majority of the workforce might feel like they've heard it all before.
Reaching millennials is not the easiest task in the world, but tailoring financial advice toward their specific generation certainly seems to be working for some. More people from the millennial generation simply want to focus on financial freedom that is specific to their goals.
Rachel Lake, a 32-year-old home loan specialist, told USA Today that she and many other people her age just want financial advice from someone who treats them like a person or individual, instead of a typical corporate worker moving up their career ladder.
"It's more like a partnership,'' Lake explained. "You want your personal trainer, your CPA [certified public accountant] and you want your financial adviser, but I want somebody to be there more as a coach than as someone telling me what I should be doing. Because I don't feel like I'm on a traditional path, and I don't think I'm alone in that."
Are millennials prepared for the future?
A question that many older generations are concerned with is whether or not millennials are prepared financially for the future. These people are the parents and grandparents of millennials and want to ensure they have saved to enjoy a comfortable retirement, which is in line with how baby boomers were raised.
"Millennials want to pay off loans, gain financial freedom and be debt free."
A 2013 report from Wells Fargo asked those between the ages of 22 and 32 about their biggest concerns financially heading into the future. Roughly 54 percent of respondents said their largest worry was paying off loans, which is no surprise, as most millennials have racked up a lot of debt with student loans.
Younger generations simply want to be able to pay these loans off and gain financial freedom with a well-paying job that can get them closer to being debt free. The report also asked the younger age group how they would spend money from a "tax-free windfall," and only 3 percent said they would use it on personal things or something to enjoy.
Millennials smarter with money than most think
Even though older generations are concerned about the financial position of millennials in the future, this young group still knows its financial responsibilities. According to a survey conducted by the Harris Poll and the Million Dollar Round Table, 86 percent of millennials surveyed said they had financial concerns and 40 percent of them also said they wanted to pay off debt as a priority for their financial future.
"It's never too late to make resolutions and one area not to overlook is a person's financial wellness," James Pittman, a certified financial planner with MDRT explained. "The findings in this survey reinforce the need for people to speak to a financial advisor and develop a tailored plan to accomplish their short and long-term financial goals."
Getting help to gain financial freedom
For millennials, it still is extremely beneficial to get a helping hand when it comes to personal finances. This group of first-time home owners could use a financial advisor from one of our branches to ensure they are on the right path with their money.
Mark J. Hanna, vice president for MDRT, said it's much easier to tackle debt with the help of a financial planner and it's something that can absolutely be done.
For more information about smart ways to manage your finances, contact Landmark Bank.
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