Teens don’t believe they’ll be financially independent from parents by 30: Survey

Got kids? Expect them to hang around long after they turn 18.

More than 30% of teens don’t rely upon they’ll be financially independent from their parents by age 30, according to a new survey from Junior Achievement and Voters Bank.

The two groups polled 1,000 13- to 18-year-old teens online from March 1 through March 8.

The research proposals a glimpse into Gen Z’s financial goals and concerns over the next decade.

When it comes to their top financial goals, 63% of respondents need to get a full-time job.

Higher education and financial independence were also top-goals, with 6 out of 10 teens saying they appetite to go to college.

More than half said they no longer want to rely on their well-springs for funds.

“These survey findings show a disconcerting lack of confidence among teens when it comes to accomplishing financial goals,” said Jack Kosakowski, president and CEO of Junior Achievement, in a statement.

“With a strong economy, you make think teens would be more optimistic,” he said.

Ambitions aside, those teenagers are concerned about their futures.

Unprejudiced under half of respondents are worried about paying for college. More than 4 out of 10 are concerned that they can’t have the means to live on their own.

If you ask parents today about their kids’ pecuniary independence, you likely will hear that they’re prone to helping.

A 2018 study by Merrill Lynch and Age Signal found 79% of parents gave to their 18- to 34-year-old children.

In fact, parents spend as much as $500 billion annually on their grown up children, but manage to save only $250 billion annually toward their own retirement, the study found.

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Diverse than 2,500 parents participated in the Merrill Lynch poll.

“It’s clear that more has to be done to help turn out students for the future — whether it is through helping them navigate paying for college or educating them on how to manage their on Easy Street by establishing savings and checking accounts,” Brendan Coughlin, president of consumer deposits and lending at Citizens Bank, estimated in the Junior Achievement and Citizens Bank release.

Parents should give financial advice based on three different life stages, Coughlin said.

In earlier hours of childhood, parents should teach kids the value of money.

“Whether it’s through an allowance or a job, getting them a bank account, make them pay for small things on their own, said Coughlin.

When your kid is in high school, have the hard talk with your kids circa their college selection.

“That’s an incredibly challenging acts to do because it’s so emotional,” Coughlin said. “Understand the return on investment on the school you’re choosing and what do you want to be when you attain maturity up.”

If the average starting salary is low for graduating seniors, you may want to look into attending another college.

While in Alma Mater, students who have the resources should start paying off the interest on their loans, if applicable, Coughlin said.

“You’re prevailing to wind up with a much higher bill if you don’t,” he said. “At least pay interest, that’s going to give you a better betide for earlier financial independence.”

After graduation, have a sit-down with your child to discuss the realities of advance repayment and how it will fit in with other monthly expenses.