The stereotype of younger workers is that they waste their money on immediate rewards like iPads and coffee at Starbucks while ignoring their financial future. But a study by Prudential shows the opposite — the youngest generation in the workforce is highly motivated to save for retirement and would plan ahead if they knew more about retirement benefit options from their employers.
Millennials, born in 1991 or later, recognize that contributing to their retirement is a must, even in a recession. Eighty-three percent say that they want to save more when they see what can happen to people who don’t save enough for retirement.
Millennial workers put saving for retirement ahead of leisure spending or saving for vacation or a house. At the same time, there are clear gaps in how much Millennial workers know about retirement planning. They understand retirement planning as a concept, but say that employer-sponsored plans are complex and overwhelming.
The survey suggests that interactive educational solutions could motivate Millennial workers to contribute more to their retirement savings. Plan sponsors should offer personalized, high-tech solutions since this young generation adapts well to emerging technologies. For more information, visithttp://www.news.prudential.com.
