{"id":142710,"date":"2020-12-28T13:04:00","date_gmt":"2020-12-28T10:04:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/why-gen-x-is-far-more-financially-fragile-than-boomers\/"},"modified":"2020-12-28T13:04:00","modified_gmt":"2020-12-28T10:04:00","slug":"why-gen-x-is-far-more-financially-fragile-than-boomers","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/why-gen-x-is-far-more-financially-fragile-than-boomers\/","title":{"rendered":"#\n  Why Gen X is far more financially fragile than boomers"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3cd91d90d7f\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3cd91d90d7f\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/why-gen-x-is-far-more-financially-fragile-than-boomers\/#Debt_is_especially_oppressive_for_Gen_Xers_saddled_with_mortgages_student_loans_and_credit_card_interest\" >Debt is especially oppressive for Gen Xers saddled with mortgages, student loans and credit card interest<\/a><ul class='ez-toc-list-level-6' ><li class='ez-toc-heading-level-6'><ul class='ez-toc-list-level-6' ><li class='ez-toc-heading-level-6'><ul class='ez-toc-list-level-6' ><li class='ez-toc-heading-level-6'><ul class='ez-toc-list-level-6' ><li class='ez-toc-heading-level-6'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/why-gen-x-is-far-more-financially-fragile-than-boomers\/#Caregiving\" >Caregiving<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-6'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/why-gen-x-is-far-more-financially-fragile-than-boomers\/#Debt\" >Debt<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-6'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/buradabiliyorum.com\/en\/why-gen-x-is-far-more-financially-fragile-than-boomers\/#Jobs\" >Jobs<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-6'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/buradabiliyorum.com\/en\/why-gen-x-is-far-more-financially-fragile-than-boomers\/#Looking_for_a_financial_road_map\" >Looking for a financial road map<\/a><\/li><\/ul><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/buradabiliyorum.com\/en\/why-gen-x-is-far-more-financially-fragile-than-boomers\/#Richard_Eisenberg\" >Richard Eisenberg<\/a><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong>#<br \/>\n  Why Gen X is far more financially fragile than boomers<br \/>\n<\/strong>&#8221;<\/p>\n<h2 class=\"article__subhead\" itemprop=\"alternativeHeadline\"><span class=\"ez-toc-section\" id=\"Debt_is_especially_oppressive_for_Gen_Xers_saddled_with_mortgages_student_loans_and_credit_card_interest\"><\/span>\n  Debt is especially oppressive for Gen Xers saddled with mortgages, student loans and credit card interest<br \/>\n<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><\/p>\n<div class=\"column column--full article__content\">\n<div id=\"js-article__body\" class=\"article__body article-wrap at16-col16 barrons-article-wrap\" itemprop=\"articleBody\" data-sbid=\"WP-MKTW-0000110581\">\n<div class=\"barrons-article-ad-wrapper\">\n<div data-track=\"barrons-article-ad-wrap\" class=\"barrons-article-ad sticky_item\">\n<div class=\"barrons-main-article-ad-target sticky_target body_ad\" aria-hidden=\"true\"><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<p>       <em>This article is reprinted by permission from\u00a0<\/em><a rel=\"nofollow noopener\" target=\"_blank\" href=\"http:\/\/www.nextavenue.org\/\" class=\"icon none\"><em>NextAvenue.org<\/em><\/a><em>.<\/em><\/p>\n<p> You might not think there\u2019d be much difference between the way members of Generation X (who are 40 to 55) and boomers (56 to 74) feel about money, since they\u2019re age-adjacent. But truth is, survey after survey is showing that Gen Xers are far more financially fragile and stressed about money right now.<\/p>\n<div class=\"paywall\">\n<p>The Bank of America 2020 Workplace Benefits Report, which surveyed 996 full-time and part-time employees participating in 401(k) plans, found that just 23% of GenXers feel a sense of progress saving for retirement; only 22% feel progress about growing their savings to pay for unexpected expenses and a mere 14% feel progress paying for current and future health care expenses.<\/p>\n<p>By contrast, the percentages were twice as high (or more) for boomers and Silent Generation members surveyed.<\/p>\n<p>\u201cIt is not surprising that the findings reflect the lifestage Gen Xers and boomers are in,\u201d said Surya Kolluri, managing director of Bank of America<br \/>\n        BAC,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/200894270\/composite\" class=\"negative\">-0.30%<\/bg-quote><span>.<\/span><br \/>\n       \u201cBut the particular level of difference expressed was sharp and noticeable and remarkable.\u201d<\/p>\n<p>And take a look at these results from other recent surveys comparing the often-overlooked Generation X \u2014 who comprise about 20% of the U.S. population \u2014 and boomers:<\/p>\n<ul class=\"articleList\">\n<li>\n      42% of Gen Xers feel stressed about their finances, while 23% of boomers do (Allianz Life)<\/p>\n<\/li>\n<li>\n      The <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">media<\/a>n household retirement savings for Generation X is $64,000, less than half the $144,000 of boomers. And 27% of Gen Xers have saved less than $50,000, vs. 18% of boomers. (Transamerica Center for Retirement Studies)<\/p>\n<\/li>\n<li>\n      As of late 2019, GenXers had saved just $5,000 for emergencies (median) compared with $15,000 for boomers (Transamerica)<\/p>\n<\/li>\n<li>\n      As a result of the pandemic, 27% of GenXers have\u00a0taken a loan and\/or a withdrawal from their retirement plan\u00a0or expect to; 11% of boomers have or plan to (Transamerica)<\/p>\n<\/li>\n<li>\n      81% of Gen Xers are concerned that when they\u2019re ready to retire, Social Security will not be there for them; 61% of boomers feel this way (Transamerica)<\/p>\n<\/li>\n<li>\n      COVID-19 has made 26% of GenXers less confident in their ability to retire comfortably vs. 19% of boomers (Transamerica)<\/p>\n<\/li>\n<li>\n      22% of Gen Xers saw their household income fall by half or more during the first few months of the pandemic; just 8% of boomers did (Prudential<br \/>\n        PRU,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/203750923\/composite\" class=\"negative\">-0.07%<\/bg-quote><br \/>\n       Financial Wellness Census 2020)<\/p>\n<\/li>\n<\/ul>\n<p>Is it any surprise then that in a Edward Jones\/AgeWave survey conducted in May and June, only 47% of Xers described their mental health as very good to excellent, while 62% of boomers did?<\/p>\n<p>Or that a 2020 University of British Columbia study that my Next Avenue colleague Grace Birnstengel wrote about noted that\u00a0<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.nextavenue.org\/older-people-are-coping-best\/\" class=\"icon none\">Gen Xers felt more stress and threatened by the pandemic than boomers<\/a>?<\/p>\n<p>From my reading of these studies and interviewing a few money experts, it looks like caregiving challenges, significant debt and job problems account for much of why Generation X is hurting financially and hurting much more than boomers, <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/general\/\" data-internallinksmanager029f6b8e52c=\"3\" title=\"General\" target=\"_blank\" rel=\"noopener\">general<\/a>ly speaking.<\/p>\n<p>Kolluri calls this \u201c360-degree pressures,\u201d particularly when it comes to retirement planning.<\/p>\n<div id=\"cx-membership-tile\"><\/div>\n<p>\u201cBoomers may have a sharper view of the goal posts getting to age sixty-five,\u201d he notes. \u201cMany have paid down their mortgages and their kids are out of college, so they can do extra catch-up contributions\u201d in their retirement plans. But for Gen Xers: \u201cThey\u2019ll have other financial challenges to deal with before they can get to the boomer lifestage,\u201d says Kolluri.<\/p>\n<p>Let me take Gen X\u2019s big three money challenges one at a time.<\/p>\n<h6><span class=\"ez-toc-section\" id=\"Caregiving\"><\/span><strong>Caregiving<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h6>\n<p>A New York Life survey said that 34% of Gen Xers are caring for an aging parent during the pandemic, while just 13% of boomers are.<\/p>\n<p>According to\u00a0AARP and the National Alliance for Caregiving, Gen X caregivers are typically employed and most say caregiving has had at least one impact on their work \u2014 such as needing to go in late, leave early or take time off to provide care. They\u2019re also more likely than older caregivers to report financial impacts due to providing care; often they\u2019ve stopped saving or have used up short-term savings or taken on more debt.<\/p>\n<p>Since women are more likely to be caregivers than men, financial planner Kimberly Foss says many Gen X women are especially feeling pinched financially.<\/p>\n<p>\u201cGen X women are disproportionately more likely to be caretakers, both for their older boomer family members and their millennial kids,\u201d said Foss, founder of Empyrion Wealth Management in Roseville, Calif. \u201cSo, they\u2019re kind of caught in a double bind in terms of ability to spend as many years focusing on a career as their male Gen X counterparts.\u201d<\/p>\n<h6><span class=\"ez-toc-section\" id=\"Debt\"><\/span><strong>Debt<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h6>\n<p>Debt is especially oppressive for many Gen Xers, who are often saddled with mortgages, student loans and credit card interest. In Bank of America\u2019s survey, while 55% of boomers said they felt in control of debt, only 35% of Gen Xers did.<\/p>\n<p><strong>See<\/strong>: How to save for retirement in your 20s and 30s to your 40s, 50s, and 60s<\/p>\n<p>Catherine Collinson, CEO and president of the Transamerica Center for Retirement Studies, fears that the credit card debt may pose a threat to Generation X\u2019s retirement security. In Transamerica\u2019s survey, 45% of Gen Xers called paying off credit card debt a financial priority, vs. 35% of boomers who said so.<\/p>\n<p>And staggering college loans, for tuitions of both the Gen Xers and their kids, are \u201champering their ability to save,\u201d said Foss.<\/p>\n<h6><span class=\"ez-toc-section\" id=\"Jobs\"><\/span><strong>Jobs<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h6>\n<p>During the pandemic, Gen Xers have been more likely than boomers to have been laid off. In a September 2020 Morning Consult poll, 10% of Gen Xers said they\u2019d lost jobs, compared with 4% of boomers.<\/p>\n<p>And a Magnify Money survey in December reported that 32% of Gen Xers have had a pay cut during COVID-19, vs. 20% of boomers.<\/p>\n<p><strong>More:<\/strong> The quiet desperation of Generation X workers across America<\/p>\n<h6><span class=\"ez-toc-section\" id=\"Looking_for_a_financial_road_map\"><\/span><strong>Looking for a financial road map<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h6>\n<p>All in all, Kolluri says, Gen Xers are looking for a financial road map and for help developing their financial skills.<\/p>\n<p><strong>Good read:<\/strong> A rare win for Gen X? Boomers gave us latchkey childhoods that prepped us for coronavirus quarantine<\/p>\n<p>In fact, the Bank of America survey found that 42% of Gen Xers said the most important thing they needed financially was help creating that road map; only 29% of boomers said so.<\/p>\n<p>\u201cAs we are busy leading our lives, we don\u2019t have time to step back and say: \u2018What is the financial cost of what I\u2019m doing?&#8217;\u201d says Kolluri.<\/p>\n<p>So, Gen Xers: try to squeeze in the time to take a step back before year\u2019s end or in early January. See if there\u2019s a way you can increase the amount you\u2019re saving for emergencies and for retirement and to decrease the amount of debt you owe and take on. Understandably, none of that will be easy.<\/p>\n<p>For those who are caregivers, know that your loved ones truly <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>reciate your kindness and assistance.<\/p>\n<p>Here\u2019s hoping for a less stressed and more financially solid 2021 for America\u2019s Generation X.<\/p>\n<p><em>Richard Eisenberg\u00a0is the Senior Web Editor of the Money &amp; Security and Work &amp; Purpose channels of Next Avenue and Managing Editor for the site. He is the author of \u201cHow to Avoid a Mid-Life Financial Crisis\u201d and has been a personal finance editor at Money, Yahoo, Good Housekeeping, and CBS Moneywatch.<\/em><\/p>\n<p><em>This article is reprinted by permission from\u00a0<\/em><a rel=\"nofollow noopener\" target=\"_blank\" href=\"http:\/\/www.nextavenue.org\/\" class=\"icon none\"><em>NextAvenue.org<\/em><\/a><em>, \u00a9 2020 Twin Cities Public Television, Inc. All rights reserved.<\/em><\/p>\n<p><strong>More from Next Avenue:<\/strong><\/p>\n<ul class=\"articleList\">\n<li>\n      <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.nextavenue.org\/undetected-influence-generation-x\/\" class=\"icon none\">The Undetected Influence of Generation X<\/a><\/p>\n<\/li>\n<li>\n      <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.nextavenue.org\/kamala-harris-boomer-gen-x-or-generation-jones\/\" class=\"icon none\">Kamala Harris: Boomer, Gen X or Generation Jones?<\/a><\/p>\n<\/li>\n<li>\n      <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.nextavenue.org\/pbs-american-portrait-pandemic-affecting-generations\/\" class=\"icon none\">PBS \u2018American Portrait:\u2019 How the Pandemic Is Affecting 3 Generations<\/a><\/p>\n<\/li>\n<\/ul>\n<\/div>\n<\/div><\/div>\n<p><\/p>\n<div class=\"byline article__byline\">\n<p>      <span>By<\/span><\/p>\n<div class=\"author  hasMenu\" data-scrim='{\"type\":\"author\",\"header\":\"Richard Eisenberg\",\"subhead\":\"The Wall Street Journal\",\"list\":[]}' itemscope itemprop=\"author\" itemtype=\"http:\/\/schema.org\/Person\">\n<h4 itemprop=\"name\"><span class=\"ez-toc-section\" id=\"Richard_Eisenberg\"><\/span>Richard Eisenberg<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<\/p><\/div>\n<\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"http:\/\/www.marketwatch.com\/news\/story.asp?guid=%7B21005575-02D4-D4B5-4572-D1AFF5FC7BCC%7D&#038;siteid=rss&#038;rss=1\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# Why Gen X is far more financially fragile than boomers &#8221; Debt is especially oppressive for Gen Xers saddled with mortgages, student loans and credit card interest This article is reprinted by permission from\u00a0NextAvenue.org. You might not think there\u2019d be much difference between the way members of Generation X (who are 40 to 55)&#8230;<\/p>\n","protected":false},"author":1,"featured_media":142711,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[],"class_list":["post-142710","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/142710","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=142710"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/142710\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/142711"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=142710"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=142710"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=142710"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}