Millennial infographic
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CEC1HW4PG 2016-AX-19928 7/16 T. Rowe Price initiated the Millennial Retirement Saving and Spending Study, a quantitative study, conducted independently by Brightwork Partners, LLC. Interviewees included 3,026 workers currently contributing to a 401(k) plan or eligible to contribute with a balance of at least $1,000 consisting of 1,505 Millennials, 1,007 Gen Xers, and 514 age 50+ workers; 1,027 adults who have retired in the past 5 years and have a Rollover IRA or balance remaining in a 401(k) plan; and 255 Millennials who are eligible but not currently saving in a 401(k) plan. Interviewing was conducted in February and March of 2015. Findings in the samples are subject to a margin of error of just under 3%. Challenging stereotypes: Working millennials are redefining the digital generation T. Rowe Price’s latest thought leadership research, the Millennial Retirement Saving and Spending Study, offers revealing—and often surprising—information about the financial mind-sets and behaviors of working millennials who are saving in a 401(k) plan. Exhibit Financial Awareness On average, they contribute 8% of their pay to a 401(k) plan (the same rate as Gen X workers) 74% are more comfortable saving and investing extra money than spending it 40% of Millennials report they have increased their contribution rate to their 401(k) in the last 12 months Envision a Bright Financial Future 78% are somewhat/very comfortable that they’re on track to meet their financial goals 73% say they are better off financially than their parents at the same age Seek Advice and Guidance 38% have used some kind of advisor, and 11% of those have used a robo-advisor 58% indicate that they would benefit from someone helping them with their spending and debt management Embrace Auto-Services Of Millennials automatically enrolled in a 401(k) plan, 27% say they would not opt out of auto-enrollment until 10% (average opt-out rate was 6%) 47% wish they had been enrolled at a higher rate While most were automatically enrolled at 3% of pay, on average they would not opt-out unless the rate exceeded 6% Engaged, but Not Entitled 82% report that their spending is well within the limits of what they can afford 75% track expenses carefully and have a written or online spending budget
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Transcript of Millennial infographic
CEC1HW4PG 2016-AX-19928
7/16
T. Rowe Price initiated the Millennial Retirement Saving and Spending Study, a quantitative study, conducted independently by Brightwork Partners, LLC. Interviewees included 3,026 workers currently contributing to a 401(k) plan or eligible to contribute with a balance of at least $1,000 consisting of 1,505 Millennials, 1,007 Gen Xers, and 514 age50+ workers; 1,027 adults who have retired in the past 5 years and have a Rollover IRA or balance remaining in a 401(k) plan; and 255 Millennials who are eligible but not currently saving in a 401(k) plan. Interviewing was conducted in February and March of 2015. Findings in the samples are subject to a margin of error of just under 3%.
Challenging stereotypes: Working millennials are redefining the digital generationT. Rowe Price’s latest thought leadership research, the Millennial Retirement Saving and Spending Study, offers revealing—andoften surprising—information about the financial mind-sets and behaviors of working millennials who are saving in a 401(k) plan.
Exhibit Financial AwarenessOn average, they contribute 8% of their
pay to a 401(k) plan (the same rate as Gen X workers)
74% are more comfortable saving and investing extra money than spending it
40% of Millennials report they have increased their contribution rate to their 401(k) in the last 12 months
Envision a Bright Financial Future78% are somewhat/very comfortable that they’re
on track to meet their financial goals
73% say they are better off financially than their parents at the same age
Seek Advice and Guidance38% have used some kind of advisor, and 11%
of those have used a robo-advisor
58% indicate that they would benefit from someone helping them with their spending and debt management
Embrace Auto-ServicesOf Millennials automatically enrolled in
a 401(k) plan, 27% say they would not opt out of auto-enrollment until 10% (average opt-out rate was 6%)
47% wish they had been enrolled at a higher rate
While most were automatically enrolled at 3% of pay, on average they would not opt-out unless the rate exceeded 6%
Engaged, but Not Entitled82% report that their spending is well within the
limits of what they can afford
75% track expenses carefully and have a written or online spending budget
