Millennials Prefer to Manage Money Themselves

Millennials have finances on their minds. Among US internet users ages 25 to 35 polled in December 2014 by Principal Financial Group, 70% said having financial security was their top goal, and six in 10 were also focused on making a comfortable salary.

December 2014 research by Million Dollar Round Table (MDRT) took a look at specific financial concerns and found that just over half of US internet users ages 18 to 34 were worried about not having enough money in their emergency savings fund, 42% feared not being able to pay off monthly expenses and around one-third were concerned about not being able to pay off student loan debt or not being able to retire.

However, just one-quarter of millennials surveyed by Principal Financial Group were working with financial professionals to manage their finances. Among those who didn’t, not having enough money saved to meet with a financial professional was the top reason, cited by 41%. Other responses indicated that costs held many millennials back from doing so. More than one-third didn’t want to pay a fee for advice, and a quarter didn’t think they could afford to work with a financial professional. A smaller share also thought financial professionals were too expensive for the services they provided.

Older millennials are open to paying for other financial services, though. A February 2015 study by SNL Financial found that US mobile banking app users ages 26 to 35 were the most willing to pay to use banking apps. Nearly two-thirds said they would spend $3 per month for a banking app, vs. 24% of total respondents. Gen Xers were the only other group to come in above average, though by just 1 percentage point, while just 23% of younger millennials (18 to 25) were interested.

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