Recent findings highlight increasing feelings of economic insecurity among adults, many of whom believe they’re worse off financially than their previous generation. According to the survey, financial unease among adults is significant, fueling their search for ways to better their economic circumstances—be it through second jobs, sidelines, or stock market investments.
Modern times bear witness to the sharp decline in the percentage of individuals earning more than their parents—a stark contrast to the 1940-set norm. Financial struggles are a harsh reality for over 42% of the surveyed adults, who believe their financial standing is inferior to what their parents enjoyed. Another quintile of the respondents report feeling their financial situation is on par with that of their parents.
Adults grappling with increasing financial distress
These statistics underline the pervading sentiment of financial stagnation, if not decline, among many adults.
Particularly disheartened are the Gen X and Millennials, both of whom account for the age group 28 to 59, and each group harbouring negative views about their financial health. Our study found them voicing fears of having to forsake hopes of financial prosperity their parents enjoyed, citing stagnating salaries, skyrocketing education costs and burdensome student loans as the primary culprits.
At face value, the outlook seems bleak for the younger generations. However, Tara Unverzagt, a financial planner, posits that these individuals might not be necessarily worse off compared to their parents. She points out that the younger generation is more educated—a facet that could significantly bear on their future financial growth and satisfaction. This could eventually be the tide-turning factor that improves their economic outlook.
