Millennials and Wealth Creation: What You Need to Know

If you’re the “average” millennial, the idea of getting wealthy is not an end in and of itself. You want your work to have meaning, with financial compensation taking a back seat to “making a difference.”

 

However you’re also savvy enough to realise that you alone are responsible for your future.

 

You grew up in a time of financial turmoil so money matters are important to you.  Contrary to commonly held beliefs, research shows that a number of Millennials are financially savvy.

 

A white paper released by Future Leaders Index showed that 93% of 18 to 29 year old Australians have money set aside; an average of $8,271.

 

The report also showed that many also try to save a couple hundred each month, even while in school, and have both short and long term goals.

 

However, unlike your parents’ generation, you want to have it all, right now. You want to be able to work and play right now rather than wait until retirement to have fun!

 

Obviously then, debt management will be one of the most  important strategies you’ll need to master if you want to reach your goals. When you’re debt free you’ll have more funds to use towards wealth creation strategies like property investing.

 

While other generations have also had to deal with things like debt, cost of living increases and retirement costs, your generation will feel the pinch more by the time you’re ready to retire, whether that’s now or retirement age, as you’ll live longer than either your parents or grandparents.

 

That’s why the sooner you set up a wealth creation plan, the better. Time in the market combined with compound growth over time will put you at a distinct advantage.

 

My advice to millennials?

Take full advantage of the opportunities right now as you’re in the prime earning years of your life. Begin by speaking with a financial advisor to see how to get started building your future.