We’ve read a lot about the millennial generation lately. Whether they’re moving around the country, living in their parents basement, or putting off buying a home…they’re hard to pin down. A recent survey my TD Ameritrade (as reported in USAToday) says that 26% of Millennials currently in college say they plan to move back home after they earn their degree to help save and pay off their student loans. In fact. when it comes to paying off that school-debt, only 40% expect to have it paid off before they’re 40.
“Today’s college grads are clearly under financial strain due to escalating tuition and stagnant wages,” says JJ Kinahan, chief strategist at TD Ameritrade, a brokerage and investment management firm. “Moving back in with mom and dad is a short-term sacrifice that could pay off in the long-run. But that’s only if the ‘boomerang’ young adults are saving and wisely investing the thousands of dollars they would’ve spent on rent and other living expenses, and paying down their student debt.”