7/15/2013
The average 13-to-24-year-old would be embarrassed to still be living at home at age 28, according to TD Ameritrade. Only 49% would be embarrassed to be there at age 25, but 88% think it is time to move on by age 30.
Teens and young adults have early aspirations toward their independence. Most expect to be living on their own by age 21.
At the same time, 63% say they feel welcome to move back in with their parents if they can’t live on their own. In fact, 81% of those currently living at home after college or planning to do so say it allows them to save money, and 48% feel their living situation enables them to be selective about employment opportunities. Those who have never worked are significantly more likely than those who have held a job to want to return to live with their parents (39% vs. 26%).
Teens and young adults anticipate earning $36,900 a year for their first job out of college. They expect their income to grow to $119,000 by age 60.
More than half of teens and young adults (54%) believe obtaining a higher education is critical to achieving success. Two in three (64%) say college is worth the cost because it helps secure employment.
The majority (72%) expect to attend or are currently attending college, and 61% plan to seek an advanced or graduate degree. They expect to pay for school via scholarships and grants (68%), parental assistance (55%), savings and working (46%), and student loans (44%). Nearly half (46%) say their biggest worry is having a large student loan balance, and 36% are concerned about being able to afford college at all.
Considering 39% worry they won’t be able to count on Social Security or other government retirement programs, teens and young adults expect to start saving for retirement at age 28.
SOURCE: TD Ameritrade, Christina Goethe, 1 Plaza Four A, Jersey City, NJ 07311; 201-369-8541; christina.goethe@tdameritrade.com; www.tdameritrade.com.
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