The U.S Census Bureau has released a report showing the changes in young adulthood over the last forty years. The study reviews the changes from 1975-2016. Very interesting insight about the evolution of American milestones and finances.Based on the report, here are some compelling statistics:
- In 1975, 45% of young adults (ages 25 to 34) had completed four specific milestones — lived independently of their parents, had married, lived with a child, and were in the labor force — compared with only 24% of 25- to 34-year-olds in 2016.
More than 60% of Americans believe that completing a formal education is extremely important. Ranked second is working full-time (52%), followed by the ability to support a family financially (50%). More young adults today have achieved this educational milestone compared with their counterparts 40 years ago. For example, less than one-fourth of 25- to 34-year-olds had a college degree in 1975, compared with more than one-third in 2016.
8 in 10 young adults in the mid-1970s had married before age 30, this milestone isn't reached today by the same proportion of Americans until their early 40s. Similarly, more than two-thirds of women in the mid-1970s were mothers by the time they were ages 25 to 29, but today that proportion is not reached until ages 30 to 34.
- Of young adults (ages 25 to 34) today who are living independently, 41% have a bachelor's degree and 64% have a full-time job. Not surprisingly, young people living independently also tend to have higher incomes: More than half of older millennials living in their own households earn $30,000 or more in income, compared with only about one-third of their peers who live with roommates and one-fourth who live with their parents.
The changes in education, economic stability, marriage and parenthood are all notable. As the population continues to shift, so will these trends. It will be fascinating to see how it continues to evolve!
If you're a millennial or wanting to get a grasp on your finances, check out our document checklist today! It's always a good time to get organized.
Source: Jonathan Vespa, "The Changing Economics and Demographics of Young Adulthood: 1975-2016," Current Population Reports, P20-579, U.S. Census Bureau, Washington, DC, April 2017; Source: Forefield.com