It’s no secret Millennials and Baby Boomers are different, but the way they see their financial outlook — as well as the country’s — after the 2016 election differs widely a few months removed from Election Day.
After the election, more than 40% of Millennials felt they would be “worse off” than in 2016, and 30% predicted the economy would be “a lot worse off,” according to survey numbers from COUNTRY Financial. Compare that with only 31% of Gen X-ers thinking they would be “worse off” and only 27% of Baby Boomers feeling that same way.
“I believe there are a few reasons for why the Millennial generation has a bleaker outlook than those of the Baby Boomer generation,” said Earl Schultz, founder of Strategic Wealth Advisory in Reading, Pa. “First of all, it is becoming more and more widely recognized and accepted that social security in the future will probably look much different than it does for today’s retirees.”
“Many of the Millennial generation are unsure if they will ever see any social security benefits after having paid into the system for years,” said Schultz, adding because of the aforementioned problems, tax rates are likely going to have to rise substantially.
Robert Johnson, president and CEO of the non-profit American College of Financial Services, said he sees two reasons for the generational disparities — one psychological factor and another grounded in economics.
“Many Millennials believe President Trump is taking the country in a different direction and one that is inconsistent with their values,” Johnson said. “For instance on immigration and climate change, Millennials disagree with Trump. This bleeds over into other areas, such as economics.”