Talking heads often say that young adults are struggling more than older generations in this economy. But a recent BMO report suggests that millennials are doing just fine compared to what their parents went through at their age. The study compares the financial situations of young adults today (age 25 – 34) to that of young adults from 3 decades ago.
Millennials looking for jobs today have a 93% chance of finding one (not bad,) compared to only 90% for those in the mid-1980s due to a higher unemployment rate back then. So don’t feel discouraged if you can’t find a job right away 🙂 Just remember that your parents probably had it worse.
The median income of people between 25 to 34 rose from $33,900 in 1984-1988, to $34,700 in 2011, after adjusting for inflation. This means we can buy 2% more goods and services than our parents could in 1984 haha 🙂 #feelingrich. Median net worth of households of generation Y was $52,000 in 2012, almost double that in 1984 ($28,752 in 2012 constant dollars.) Wow.
I understand where the older generation comes from when they say “Kids these days. They don’t know how good they have it.” The recession they experienced in the 80s must have been pretty bad 🙁 But then again, maybe it’s not a fair comparison because the world was such a different place back then 😕
“While many baby boomers prospered financially in the past thirty years, one could say that their children are starting new careers and families on an equal, if not firmer, footing in most regions.”
~Sal Guatieri, BMO economist.
As a millennial I realize that on average we do have more debts today than our parents did 30 years ago. And the costs of education and real estate have outpaced inflation so certain things are definitely less affordable to us. But we have better job opportunities than our parents did. We are better educated. We have higher incomes and more purchasing power. We have almost twice as much wealth (net worth) than they had. We even have access to new innovations like the internet and smart phones, which make our lives so much easier. So I’m just glad things aren’t worse for us right now 😀
Random Useless Fact: Sometimes evolution can backfire.