A new Wells Fargo Millennial study conducted by GfK reveals that 64% millennials assume that they will not be able to accumulate $1 million over the course of their lifetime. While this goal may be attainable by saving consistently starting in their mid-20s and staying invested throughout their working years, the biggest thing keeping young people from attaining this goal is record levels of student debt. In fact, more than 33% of millennials have student loan debt exceeding $19,000, with three-quarters of these people describing their debts as “unmanageable.” With an increase in tuition and a decrease in career-track job openings, many young people are having a difficult time financially.
Still, millennials are making an effort to invest and grow their money. Sixty percent of millennials have already begun investing. Assuming a salary of $32,000 per year with a two percent yearly raise, a seven percent yearly return on assets, and consistent saving of five percent of income, it is conceivable to save $1 million by retirement age, according to Wells Fargo.
It is extremely important for millennials to save as much as possible as soon as possible. It is never too soon to start planning for your retirement!
Don’t procrastinate on planning for the future. If you have asset protection, tax planning, or estate planning matters that need to be addressed, please call an Omaha estate planning attorney at Burnett Wilson Law. Our job is to ensure that all you have worked hard for is protected.