Boomers are helping with unexpected expenses
Last but not least, apparently 20 percent of boomers provide financial support to their grandchildren for unexpected expenses, according to the 2017 TD Ameritrade survey. This need for help might not come as a surprise, considering that Americans aged between 18 and 34 are more likely than other generations to have zero money for emergencies.
However, according to a survey carried out in 2017, about 60 percent of millennial respondents saw themselves as money savers as opposed to money spenders. In 2018, the “savers” team increased to 70 percent, which meant fewer financial burdens on their boomer family members. Or so the respondents say.
Why this is a problem
If you thought baby boomers are better at saving money for rainy days, you’re in for a disappointment. Apparently, 49 percent of adults ages 55 to 64 have less than $1,000 in savings. But an emergency fund is crucial, especially for boomers.
“Grandparents will be more likely to stay on track for retirement by setting aside an emergency fund to cover unexpected expenses and developing a clear financial plan that can help protect and potentially grow their nest egg,” David Lynch said.
