Everyone knows that millenials have not been moving as “progressively” as other generations in the past. In fact, many people think this generation will be the one that does worse than their parents for the first time in history. I read so many articles about how ill-equipped millenials are for the future or how they are putting off major life choices (marriage, kids, etc.) because they are drowning in a sea of debt as large as the Pacific Ocean. I have talked before about whether it is fair to perceive this generation as “lazy” or “unmotivated” as many has deemed them to be. Knowing all this, it would be fair to say that this group would not have much net worth on average and you would be RIGHT.
It turns out it only takes $10,400 to be considered “richer” than the majority of millenials nowadays. This is including net worth which means the amount of the difference of the value of your assets and your debts. I could not find if the amount quoted in the article included the values of tangible assets like cars or houses.
What is $10,000 these days? That’s enough for a decent but used car. Maybe even one with satellite radio? Or navigation system? It could certainly pay my mortgage for the better part of the year. It is certainly not an amount to sneeze at. Most people would be over the moon if they had that much in their bank accounts. I know many people in my neck of the woods would be more than elated to have that with them right now.
It may be a small fortune, but it really is not a lot if you consider the concept of net worth. That is supposed to be the amount that you have in all. If you really think about it though, it really is not that crazy. It is no secret that this generation has been saddled with the highest amount of student loan debt of any previous generation. There are more people who have student loans than ever before. I guess when you consider all that then it is not so difficult to consider that it really does not take that much to be richer than the average millennial. Still, it makes me a little nervous for the future.
So are you richer than the average millennial? If you were to factor home equity, I would be richer but I still have debt. I am still in the process of paying it off. I will soon be done with paying off our loan on the truck. Even though my net worth is slightly bigger, I can’t pour the champagne just yet. I am still trying to be more responsible with my money. It is not always easy to correct the mistakes of the past but I like to think I am on my way.