New research indicates that a majority of millennials are carrying some form of debt — and it’s causing them to postpone major life decisions.
According to a new poll by NBC News, 77 percent of U.S. millennials aged 18-34 reported possessing one or more forms of debt, and many also reported their debt as being in excess of six figures. Approximately one in four millennials is more than $30,000 in debt, and 11 percent of millennials carry debt in excess of $100,000.
While student loans and rising college costs play a large role in millennial spending, they aren’t even the most prevalent type of debt among those aged 18-34. Approximately 46 percent of millennials reported that they are carrying credit card debt, while only 36 percent said that they had some debt in the form of student loans. Only 20 percent of millennials reported owing mortgage payments as part of their debt, indicating that a significant majority of this age group is renting or still living with parents.
In terms of savings, millennials do not appear to be stockpiling extra cash to have on hand in case of an emergency. Approximately 30 percent of all millennials reported having less than $1,000 in a personal savings, while 24 percent reported having no money saved at all. As a result, roughly two out of every three millennials said they would be significantly burdened by a sudden unexpected bill or cost of $1,000 or more, such as in the event of an emergency.
While certain forms of debt such as school loans are inevitable for millennials who want to pursue higher education, it does take a toll on life planning. Approximately 34 percent of millennials reported delaying their efforts to buy a home because of their debt, while 14 percent said they put off getting married because of their debt. Less than half of all millennials (44 percent) said that having debt hasn’t impacted their life events.
