According to a new study released by Wells Fargo, four in ten millennials say they are overwhelmed with debt and more than half say they are living paycheck to paycheck.
The study, which was conducted by Harris Poll, surveyed more than 1,600 U.S. adults ages 22 to 33 years of age.
With one-in-three students loans considered delinquent and often affecting a student’s ability to make purchases in the future, it’s not surprising that most millennials say paying off their student loans is their top concern when it comes to finances.
According to the most recent figures, students graduating college leave with an average of $29,000 in student loan debt.
Even with mounting debt from student loans, most millennials who attended college say it was worth the cost. Indeed, the median income for college students ($72,800) was more than double that of students who did not attend college ($34,700).
While millennials might be feeling overwhelmed by debt right now, they don’t plan to feel that way in the future. Nearly 80% of those surveyed say the Great Recession taught them to save now in order to survive economic problems in the future.
However, 45% of those adults are not saving for retirement yet, but more than half say they are satisfied with the amount they are currently putting aside for the future. Of those millennials who have started saving, almost half are saving between 1% to 5% of their income for retirement, while 31% are saving 6% to 10% and 18% are saving more than 10%.
Overall, millennials feel optimistic about their future. Nearly 69% of those surveyed say they feel better off financially than others in their generation. Additionally, 68% of millennials expect their standard of living before retirement will be better than that of their parents.