Millennials Use Of College Degrees
The millennial generation now outnumbering baby boomers making up more than a quarter of the nation's population this is according to the Census Bureau and Pew Research is showing that millennials also now make up the largest percentage of the U.S. workforce. And now a brand new survey shows us exactly what this generation wants for their financial future. Joining me now is Justin dent co-founder executive director of Gen f k d the organization responsible for this survey. Let's start with stocks just that 69 percent of millennials would be in the market if they could. Sixty nine percent would buy more stocks and bonds if they had the money. What's holding them back.
You know it's just the lack of capital and I hear a lot of people complaining that millennials just don't have the confidence in the market or they're different from their parents and just don't understand how the market works enough to really invest. What we've seen both of this survey and some of our work on campus is that if there was slightly more disposable income for millennials they'd be happy to invest. They have the confidence in the market. They know how the market works but they really just don't feel financially comfortable enough to start investing. And
in terms of investing. Are they do they have a general interest in the way that markets work. Do they have a general interest and really understanding stocks and debt.
Yeah definitely. You know what I found to this survey is we also saw that millennials are really interested in the role of government small business and the market. And so there is that keenness and a curiosity to be entrepreneurs and to be part of the American dream more broadly. That being said America you know American Millennials want to invest. They want to feel like they're part of the market. And they really have a traditional idea of the American dream. It's just they don't have the money right now or don't feel they have the money to make that stuff.
To some the people of both political parties should be able to do that to that. But in terms of homeownership almost 95 percent 94 percent of millennials would like to own their house and most of them about three quarters up in the survey. We're looking to the suburbs. We were talking in the break. How surprising is this to you.
It was really surprising. Listen you know I'm a city kid I was born and raised in New York like we were talking about most of my friends don't live here. I've never lived here ever heard of it yet. And I don't know what will anytime soon.
I love New York but a lot of people all across this country actually want to live in the suburbs and they want the convenience of the suburbs and they want the community where they don't necessarily want to live in rural areas. They want to have some connecting this to a metropolitan area. But at the same time have the fence the dog and the kids that that is surprising.
And then when looking at college 40 percent said their degree did not help them find work. More than half were carrying $10000 or more in student debt. Any sign that people are actually going to forego college at this point. It's a conversation that my brother is just a few years younger than I am and we have that we have that all the time that we would not have gone to college if we really didn't have time to get to start our careers.
Yeah I think so. You know we've already seen College in Rome once to decline because colleges and universities haven't been able to show that it's worth the investment. You know students are taking on this debt which is precluding them from investing in the stock market precluding them from putting money into a home for a down payment. But at the same time working in careers are positions that don't require a college degree. You know we're the most in debt a generation but also the most educated generation. But that's not really translating into the labor market or to the workforce.
You get the education that you potentially overpaid for and 20 percent of the millennials in your survey said that they were unemployed and unable to find work.
And what were the overwhelming reasons given that this mostly their university didn't prepare them for the real world or did it give them the skills that they needed to get a job. You know what we've seen is a lot of universities. You know we'll show you their employment rate six months after students graduate. But that's usually a cop out in a lot of ways because by that time the student may have taken a job as a barista at Starbucks and that's no problem for a starter job. But that's not why you went to university why you took on upwards of ten thousand dollars in debt.
I had an interesting conversation with a family member of mine who is a teenager and is looking at schools wants to dance at the college level. But one of the colleges that she was looking at really wants to dance and step they are pushing they're pushing science and math. In addition to dance that they were really trying to keep these with these women it's largely a female college. And I just thought that that was really fascinating to look at. So the colleges are cognizant of trying to better train these young people particularly ones who are going to pay $200000 to get to school there.
They have to be now because you know you have companies like Google Apple and IBM that now don't require a college degree to work for them. You know these are the top companies and the one who is going to work for. And so that's the tradeoff. You know we have to think about other ways that you know why would I want to go to school otherwise just say it was great to talk to you.
Thank you so much for bringing the survey to us doesn't it. Please come back very soon hopefully.
And don't move to the that now I might not be.
July 7, 2017