Posted by GritDaily Staff | Feb 12, 2020
“We want to give you a better life than the one we had.” This is a phrase many millennials have heard at some point during their life from their parents, especially with respect to today’s average debt. Yet, both the millennial and post-millennial generations (Generation Z) are on track to becoming the most educated yet, with one major problem—they both face a major student loan debt catastrophe. And not all debts are created equal—especially when we talk about student loans.
While the millennial generation has become all too familiar with this crisis, often just accepting what seems to be an impossible solution—more Gen Zers are starting to think about how they will pay for college and pay-off their debts, hoping to learn lessons from the mistakes millennials have made.
Two-months into 2020, millennials still struggle to embrace the “better life” that their parents have afforded or wanted to provide for them—keeping them up at night wondering if they will ever dig themselves out of financial crises.
A recent study of 1,000 undergraduate and 1,000 postgraduate degree holders revealed that, of those with student loans, 89 percent see their debt as a financial burden. It’s more than just living check to check—the sacrifices that have had to be made speak for themselves:
- Skipping a social gathering due to lack of funds—39%
- Finding a side hustle / alternate source of income –39%
- Taking a job they hated, but paid well—36%
- Skipping major life events due to travel costs—36%
- Skipped a meal—35%
- Living in a ghetto-ass neighborhood for cheaper rent—35%
- Living with parents—29%
Respondents were even willing to take drastic steps if it meant wiping their debt slate clean:
- “I’d Spend a Week In Jail” –39%
- “I’d Shave My Head” –51%
- “I’d Walk to Work for a Month” –49%
- “I’ll Never Drink Caffeine Again” –40%
- “I’d Relive High School Over Again” –40%
- “I Won’t Take PTO From Work for a Year” –40%
Wow, just wow.
With more than 44 million Americans struggling to pay off what is estimated to be close to $1.6 trillion of student loan debt in the U.S., according to a report from credit rating agency Moody’s Investors Service. Consequently, student loans have become one of the major contributing factors to the U.S. consumer debt today […]