Many millennials unprepared for financial future

Many millennials unprepared for financial future

AMARILLO, TX (KFDA) - Concerns are arising with the way millennials prepare for their financial futures.

Two out of five millennials feels anxious when thinking about daily expenses, especially debt. And those in Amarillo are no different.

But it begs the question... what's causing this uncertainty, and how do you fix it?

Would you forgo eating out for six months to pay off a 10 thousand dollar debt? For many, it's a no-brainer, but believe it or not, many millennials say no way!

The investment company Acorns released their "Money Matters Report" for last year and long story short, many millennials are not prepared for their financial futures.

While there is no exact answer as to why, there are some ideas.

"They want that short-term experience of going into a coffee house or taking a trip, whatever it may be that's more short term gratification, and we don't have the long term vision to prepare for retirement or prepare to buy a home or whatever it may be," says Edward Jones Financial Advisor Joseph Peterson.

It also may boil down to not being taught how to properly invest. It seems these teachings are a thing of the past, unless your career will be in the financial field.

70 percent of millennials surveyed say, they do not feel their education prepared them to manage their finances.

"They're kind of just spendthrifts, they're not necessarily saving, they're just kind of spending the check as it comes. You know the old adage, living paycheck to paycheck. I find a lot of them doing that."

But of course, not all millennials are the same. Newschannel 10 took to twitter to launch a poll asking, would you give up social media for six months to pay off a 10,000 dollar debt?

88 percent said absolutely, while 12 percent said no way.

"The millennials have the one thing that we can't get back," says Peterson. "The asset of time on their side, so the younger we start, the better off we're going to be with our financial future. So when I have a 25 year old, or a 35 year old or a 30 year old come in my office, I'm excited because I'm telling them hey, you're doing the right thing. You're starting early and your older self will thank you later for doing that."

Peterson offers a few tips. First, start small. Invest with less, and work your way up as your pocketbook allows. Second, contribute to a 401k or another plan. Once again, he says you can start small, but be sure to check how your company can match the amount. And last, increase those contributions as much as you can.

If you'd like to make an appointment with Peterson to discuss your financial future, click here.

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