Survey Finds Chicago Millennials Are Saving Money, but Still Stressed

Bank of America/USA TODAY Better Money Habits Millennial Report Explores the Most Worrisome Financial Issues for Millennials in Chicago

CHICAGO--(BUSINESS WIRE)-- Millennials in Chicago are collectively better at saving than their peers across the country, according to the new Bank of America/USA TODAY Better Money Habits Millennial Report. The survey found that 70 percent of Chicago millennials regularly set aside money for savings, compared to 56 percent nationally.

Of those millennials in Chicago who are saving, the greatest number said they were putting away money for an emergency fund (54 percent), while approximately one in three said they were saving for retirement (34 percent) or saving for a home (35 percent) – roughly the same number who said they were saving for a vacation or travel (34 percent).

Still, despite a strong inclination to save, most Chicago millennials are falling short of their savings goals. Only 35 percent feel positively about the amount they currently have saved, and nearly half (46 percent) of those who are saving have less than $5,000 set aside, including general savings, retirement and other investment accounts. They’re not necessarily prepared for a financial emergency, either: Roughly four in 10 Chicago millennials (44 percent) admitted that they do not have three months’ worth of living expenses saved.

Saving, housing costs causing millennial stress

The pressure to save is having a real effect on the well-being of this group: More than half of Chicago millennials (64 percent) are either feeling worried, angry or hopeless about how much money they have saved. And it’s not the only issue causing angst. In general, four in 10 feel “chronically stressed” about their personal financial situation.

Beyond the challenge of saving, the survey found that paying for housing is another major stressor, with 68 percent of Chicago millennials expressing concern over the cost of housing, whether renting or buying a home, in the Windy City. Taxes are another financial concern for more than half of Chicago millennials (55 percent say they worry a lot or some about taxes), while nearly one in three (31 percent) worry about the amount of debt they have.

“There are two parts to the story here. Our young people are trying to be responsible with their finances, but they’re struggling with the stress of rising expenses and economic uncertainty,” said Tim Maloney, Illinois president for Bank of America. “That’s not healthy for them or for the future of our city – and they shouldn’t have to go it alone.”

In an effort to address this critical topic and discuss financial education solutions in Chicago and beyond, Bank of America will convene a breakfast discussion on Friday, October 16 featuring education entrepreneur Sal Khan, founder and CEO of Khan Academy, and John Rogers, Jr., the chairman and CEO of Ariel Investments. Andrew Plepler, Bank of America’s Global Corporate Social Responsibility executive, will moderate the conversation.

Bank of America wants to help all young adults looking to boost their financial wellness with its free online financial education resource BetterMoneyHabits.com, powered in partnership with Khan Academy. Inspired by Khan Academy’s modern approach to learning, the platform provides engaging and easy to understand content on a wide range of personal finance topics. In addition to content geared toward millennials, as well as parents, new material is launching on the website this fall offering tailored advice to those living paycheck to paycheck.

This is the third poll of millennials by Bank of America Better Money Habits and USA TODAY. For the national results and more information about the report series, visit www.bettermoneyhabits.com/millennial-report.

About the Bank of America/USA TODAY Better Money Habits Millennial ReportIn follow-up research to November 2014 and April 2015 reports on millennials’ financial habits, Bank of America and USA TODAY commissioned a survey of 1,320 millennials to explore millennials’ challenges, behaviors and attitudes related to achieving financial wellness. The survey was conducted online during the period of August 6–24, 2015 by GfK Public Affairs and Corporate Communication, using GfK’s KnowledgePanel®, a statistically representative sample source used to yield results that are projectable to the American population. To qualify, millennial respondents had to be 18 to 34 years old. The margin of sampling error for national data is +/- 3.2 percentage points at the 95 percent confidence level. Margin of error for the Chicago, Houston, Los Angeles, New York and Washington, DC DMA oversamples is slightly higher.

About Better Money HabitsBank of America has made a substantial commitment to address the need for better financial literacy by partnering with Khan Academy – a nonprofit with the mission of providing a free, world-class education for anyone, anywhere. Through this partnership, Better Money Habits has tapped into a different way to help people learn about money. It's about creating a customizable experience that breaks down concepts and provides practical, actionable steps to strengthen the connection between financial knowledge and behavior. Since the site launched in 2013, we’ve connected millions of people to information to help them make more confident financial decisions. To learn more, visit BetterMoneyHabits.com.

Bank of AmericaBank of America is one of the world's leading financial institutions, serving individual consumers, small and middle-market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk management products and services. The company provides unmatched convenience in the United States, serving approximately 47 million consumer and small business relationships with approximately 4,700 retail financial centers, approximately 16,100 ATMs, and award-winning online banking with 32 million active users and more than 18 million mobile users. Bank of America is among the world's leading wealth management companies and is a global leader in corporate and investment banking and trading across a broad range of asset classes, serving corporations, governments, institutions and individuals around the world. Bank of America offers industry-leading support to approximately 3 million small business owners through a suite of innovative, easy-to-use online products and services. The company serves clients through operations in all 50 states, the District of Columbia, the U.S. Virgin Islands, Puerto Rico and more than 35 countries. Bank of America Corporation stock (NYSE: BAC) is listed on the New York Stock Exchange.

About USA TODAYFounded in 1982, USA TODAY delivers high-quality, engaging content through unique visual storytelling across all platforms. An innovator of news and information, USA TODAY reflects the pulse of the nation and serves as the host of the American conversation — today, tomorrow, and for decades to follow. USA TODAY is the nation’s number one newspaper. USA TODAY's award winning news site reaches more than 50M unique visitors a month across its digital platforms with more than 20M application downloads. USA TODAY is owned by Gannett Co., Inc. (NYSE: GCI).

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View source version on businesswire.com: http://www.businesswire.com/news/home/20151015005065/en/

Reporters May Contact:
Diane Wagner, Bank of America, 1.312.992.2370
[email protected]

Source: Bank of America

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