There’s no way to predict what will happen in life, but one thing’s for sure: Some Millennials have sky-high hopes for their money and careers.
New research from TD Ameritrade reveals that 49% of those surveyed say they expect to reach millionaire status at some point in their lifetime (47% don’t think they’ll reach millionaire status at all, and 4% say they already have) and 56 is the average age that they expect to retire from the workforce.
Head Solutions Group surveyed 1,519 Americans between the ages of 21 and 37.
Here’s what Millennials think will happen
Respondents weighed in on the question, “at what age did you or do you expect to complete the following life milestones for the first time, if at all?” Here are six of the results (percentages may not add up to 100 due to rounding).
- “First job in your chosen field, or field that became your career after studying/formal training:” average age of 25 (13% don’t think it will happen; “not applicable” to 17%)
- “First time you move in with a serious partner:” average age of 26 (24% don’t think it will happen)
- “Being completely financially independent from my parents/guardians:” average age of 25 (19% think it won’t happen)
- “Marriage (i.e. legally):” average age of 28 (25% think it won’t happen)
- “First child:” average age of 28 (30% think it won’t happen)
The highest average age was 56— which is when they expect to retire, although 28% don’t expect to.
“Millennials are graduating at record rates, and it’s great to see that like most previous generations of college students, young people are optimistic about the future. On average, survey respondents expect to land a job in their chosen field and be completely financially independent by age 25,” he said. “This is a financially optimistic group that’s feeling positive about the economy, the job market and their own plans. However, they will need to develop saving and investing habits that will help them reach some pretty big goals.”
The research also found that while 53% of Millennials say they engaged in a salary negotiation during their “most recent jobs,” 47% said they did not.
What Millennials are saving up for
Respondents were asked what they were putting away money for (if at all). Here are the Top 5, plus a few extras.
- “A vacation:” 43%
- “Emergency fund (e.g. for home/auto repairs, unexpected bills):” 39%
- “Retirement:” 38%
- “Home improvements:” 26%
- “Education of my children/grandchildren:” 25%
Bonus: While 15% said they are saving up without a goal, 6% say they’re not putting any money away at all.
When Millennials’ parents stopped funding them
Here’s the breakdown.
- “When I finished high school:” 11%
- “When I finished college:” 15%
- “When I got my first real job:” 14%
- “When I moved out of home:” 17%
- “When I got married:” 10%
- “When I had children:” 5%
- “At another point:” 4%
- “My parents have not cut me off financially/still provide some financial support:” 17%
- “I don’t know:” 8%