Some welcome news before those cringe-worthy money queries you will undoubtedly get from your parents and relatives this holiday season: a recent survey conducted by Capital One found that Millennials, long criticized for their lack of savings and seemingly endless spending in the discretionary category, are actually doin’ just fine.
Wait – really?
Yep! Sure, we’re waiting longer to hit major life milestones like getting married and buying a house, but we’re also loud and proud with our commitment (and, ahem, attraction) to financial responsibility. Two thirds (67%) of those surveyed said they would rather have a steady job with a modest income than become a millionaire with a chance of going broke within a few years. Clearly, the thought of building your wealth over time is more of a safe bet than making it all at once…only to have it go down the tubes. You know how I feel about moderation; slow and steady wins the financial race every time!
Beyond their present financial situation, Millennials also place a greater emphasis on their future selves. As I’ve discussed before, studies have shown that we often disassociate our future selves from our present selves, thinking of them as two entirely different people. Well, the survey found that more than a quarter (27%) of respondents said that establishing a solid nest egg would give them the biggest feeling of financial accomplishment. Think of saving for that nest egg not as another monthly bill, but as an investment of all of the awesome things Future You will be able to do in retirement.
And that doesn’t just go for ongoing savings, but those sweet one-time cash gifts as well (which, BTW, are commonly known as “windfalls.”) They typically come in the form of a gift from a friend or relative, or maybe a cash bonus at work. Here’s some news that warms the heart of this financial expert during the holidays: when asked what they would do with a $100 cash holiday gift, 40% of Millennials said they would use the cash to increase their savings balance. ‘Tis the season, indeed!
Of course, this heightened sense of financial responsibility doesn’t just stop with ourselves. You know by now how important it is to have “The Talk” (the money one, that is) before taking that next big step like moving in together or getting married. That’s because you just can’t truly know a person until you know about their money skeletons, too. Well, more than one in ten (13%) of Millennials surveyed say being irresponsible with money is a romantic relationship deal breaker for them, and even more (14%) say being a money moocher is a deal breaker.
The results are in: now is the time, more than ever, to get it together and get it all!