Millennials are starting to focus on saving money for their futures, according to a recent financial survey. Fidelity Investments, the world’s second-largest mutual fund and financial services group, conducted a survey of 4,650 households with a minimum of $20K in annual income and learned that millennials between the ages of 25 and 34 are saving more money than ever in anticipation of retirement. This is surprising news given that younger people in the U.S. have historically had difficulty when it comes to planning ahead for their eventual retirement because they have only recently entered the workforce and can’t imagine retiring.
Although older workers still save higher percentages of their income – workers between the ages of 35 and 50 save 8.2 percent of annual pay, while workers between the ages of 51 and 69 save 9.7 percent of their pay – younger employees are doing so at a faster rate. In fact, millennials are saving for retirement at a faster rate than any other age group. The median savings figure for millennials is 7.5 percent, which includes money saved from their paychecks and any matching amounts they receive from their employers. That represents a massive jump from a figure of 5.8 percent just two years ago.
While it’s good that young people are planning ahead by saving higher percentages of their income now, the reality is that financial disaster can strike at any moment. That’s why some financial planners say that at least 15 percent of a person’s pay should remain untouched in the present and be saved for a future emergency. Others say that number is not nearly enough.
Regardless of your financial situation, one of the best things you can do to plan for your financial future and guard against money problems is to speak with a qualified professional. And if things get overwhelming, it may be in your best interests to talk to an experienced bankruptcy and debt management attorney who can help you get a handle on your finances.
To learn more, view the Yahoo.com article, “Workers Are Saving More for Retirement, Led by Millennials.”
If you are seeking debt relief from a creditor, Joel R. Spivack is an experienced bankruptcy and debt management lawyer who can help you get back on the right financial path. Contact Mr. Spivack today to schedule a free consultation.
