{"id":566562,"date":"2021-06-27T13:27:44","date_gmt":"2021-06-27T13:27:44","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2021\/06\/27\/poor-poor-millennials\/"},"modified":"2021-06-27T13:27:44","modified_gmt":"2021-06-27T13:27:44","slug":"poor-poor-millennials","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2021\/06\/27\/poor-poor-millennials\/","title":{"rendered":"Poor, poor millennials"},"content":{"rendered":"<p><a class=\"content-anchor\" id=\"tldr-story-07\"><\/a> <strong>The common belief that millennials are doing worse than previous generations may not <\/strong><strong>be true after all \u2026<\/strong> At least, that\u2019s what Allison Schrager argues in a <a href=\"https:\/\/www.bloomberg.com\/opinion\/articles\/2021-06-23\/millennials-the-wealthiest-generation-believe-it\">Bloomberg Opinion<\/a> piece. Instead of looking at the hypothesis in purely quantitative terms, you should also look at how things match up in the much-changed world, she says. While statistically speaking millennials \u2014 who are generally defined as the generation born between 1981 and 1996 \u2014 are less likely to own homes than their parents' generation, they may have just invested their time and money differently. Taking into account a more expansive definition of wealth, perhaps millennials are not exactly the downtrodden underdogs meme culture insists they are.<\/p>\n<p><strong>The first thing to consider is education. <\/strong>While millennials are in twice as much debt as their parents were at the same age, most of the debt comes from student loans, indicating that they have invested more into education for their future, and therefore higher paying jobs. While millennials are less likely to own a home, that is also because these well-educated young people tend to live in large urban areas, where the higher paying jobs are. \u201cIf you live somewhere you can\u2019t afford to buy a home, it might be because you live somewhere that puts your career on a fast track,\u201d Schrager writes.<\/p>\n<p><strong>Is it because millennials have more stability? *scoffs*: <\/strong>Another argument Schrager poses is that millennials tend to change jobs less frequently than previous generations. The stable, predictable income is more valuable than the riskier, if higher, wages our grandparents used to get by jumping from job to job. It also explains why millennials are slower at getting promotions and raises, as these increases are partly driven by moving around. Adding to this stability is the abundance of retirement plans at work, which were harder to come by for boomers in the workplace. <strong>However, her assumption might not be correct<\/strong>, as a <a href=\"https:\/\/www.gallup.com\/workplace\/231587\/millennials-job-hopping-generation.aspx\">Gallup report<\/a> actually found that millennials are the generation most likely to switch jobs.<\/p>\n<p><strong>While we appreciate the optimism, we\u2019re not sold just yet:<\/strong> The statistics only fuel our doubts, with millennials controlling just 4.6% of US wealth, despite making up the largest portion of the workforce. Meanwhile, baby boomers hold 53% of the country\u2019s wealth, Gen X 25%, and the silent generation 17, according to <a href=\"https:\/\/www.cnbc.com\/2020\/10\/09\/millennials-own-less-than-5percent-of-all-us-wealth.html\">CNBC<\/a>. Maybe you\u2019d like to play devil\u2019s advocate and say that the numbers make sense, as older generations have had more time to fill their bank accounts. But in 1989, when baby boomers were the same age as millennials today, they held 21% of the US\u2019 wealth, almost five times as much.<\/p>\n<p><strong>Surveys conducted in the MENA region indicate a similar problem: <\/strong>While there aren\u2019t similar statistics to quantify the wealth gap in Egypt, a regional <a href=\"https:\/\/www.ipsos.com\/sites\/default\/files\/ct\/publication\/documents\/2018-09\/MENAs_Millennials_Decoded.pdf\">survey by Ipsos<\/a> gives a snapshot of millennials' concerns. Dubbing them an \u201canxious generation,\u201d the survey found that 61% of millennials feel that it was easier for older generations to make money. Meanwhile, 41% feel overwhelmed by financial burdens and 14% are in debt. When asked how optimistic they are for the future, Egyptian millennials came in last at 37% compared to the 73% in Saudi who said they were excited for the future. The pessimism was attributed to concerns over the political, social, and economic environment in the country.<\/p>\n<p><strong>We don\u2019t mean to be morbid\u2026<\/strong> Increased life expectancy worldwide could also be playing a factor in millennials' poverty. Inheritance of assets is an easy and quick way to redistribute wealth among generations. However, with advances in healthcare and fewer wars, many millennials haven\u2019t inherited wealth from their parents or grandparents just yet. <a href=\"https:\/\/www.visualcapitalist.com\/charting-the-growing-generational-wealth-gap\/\">Visual Capitalist<\/a> charts the wealth gap between generations in the US and notes that millennials are expected to inherit USD 68 tn from baby boomer parents by 2030.<\/p>\n<p><strong>And covid-19 is dividing the generation into \u2018the millennial rich\u2019 and \u2018the millennial poor\u2019:<\/strong> Following the 2008 financial crisis and political unrest over the past decade, the pandemic is the latest in a string of setbacks to befall millennials\u2019 wealth potential. The intergenerational socioeconomic gap is reflected in the K-shaped recovery the US has been experiencing, in which the wealthy are bouncing back and the lower-earning are staying down, according to <a href=\"https:\/\/www.businessinsider.com\/pandemic-widened-millennial-wealth-gap-economic-inequality-rich-poor-henry-2021-1\">Business Insider<\/a>. Generational researcher Jason Dorsey has categorized the generation into the \u201cme-llennials\u201d who feel financially and professionally behind and \u201cmega-llennials\u201d who are financially sound. The pandemic has further exacerbated the high income inequality as many grapple with issues such as unemployment, and increased childcare costs in an economy that doesn\u2019t always support them.<\/p>\n<p><strong>But Gen Z has learned from their predecessors\u2019 mistakes: <\/strong>Bank of America estimates that Gen Z will have a higher income than millennials by 2031 and will be the \u201cmost disruptive generation ever\u201d to economies, markets and social systems, according to <a href=\"https:\/\/www.cnbc.com\/2020\/11\/20\/gen-z-incomes-predicted-to-beat-millennials-in-10-years.html\">CNBC<\/a>. The bank defines the generation as those born between 1996 and 2016. Gen Z are more tech savvy than millennials and understand the benefit of going into career paths that have proved resilient in times of crisis. They will also likely be quick beneficiaries of \u201cThe Great Wealth Transfer\u201d from older cohorts. As they go into the workforce, Gen Z\u2019s income is expected to increase fivefold by 2030 to USD 33 tn, accounting for over a quarter of global income.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The common belief that millennials are doing worse than previous generations may not be true after all \u2026 At least, that\u2019s what Allison Schrager argues in a Bloomberg Opinion piece. Instead of looking at the hypothesis in purely quantitative terms, you should also look at how things match up in the much-changed world, she says. [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"single-feature.php","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[10167],"tags":[107,73,928,633,4252,345,639,117],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-566562","post","type-post","status-publish","format-standard","hentry","category-generation-y","tag-covid-19","tag-education","tag-employment","tag-enterprisepm","tag-generation-y","tag-mena","tag-technology","tag-us","wpautop","entry"],"acf":{"mongo_id":"cc02e821-c132-4a98-8e3c-964d11bf2fb0","is_powered_by":true,"story_type":"1","photo_url":"","photo_position":"above","related_issue":[566550],"teaser":"","voice_url":""},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Poor, poor millennials - EnterpriseAM Egypt<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/enterpriseam.com\/egypt\/2021\/06\/27\/poor-poor-millennials\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Poor, poor millennials\" \/>\n<meta property=\"og:description\" content=\"The common belief that millennials are doing worse than previous generations may not be true after all \u2026 At least, that\u2019s what Allison Schrager argues in a Bloomberg Opinion piece. 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The generation, one of the largest in history \u201cis about to move into its prime spending years. Millennials are poised to reshape the economy; their unique experiences will change the ways we buy and sell,\u2026","rel":"","context":"In &quot;THE MACRO PICTURE&quot;","block_context":{"text":"THE MACRO PICTURE","link":"https:\/\/enterpriseam.com\/egypt\/category\/the-macro-picture\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":621609,"url":"https:\/\/enterpriseam.com\/egypt\/2018\/11\/13\/are-millennials-less-entrepreneurial\/","url_meta":{"origin":566562,"position":1},"title":"Are millennials less entrepreneurial?","author":"enterpriseam admin","date":"13 November 2018","format":false,"excerpt":"Are millennials less entrepreneurial? In the era of Facebook, Twitter, Snap and the slew of unicorns founded by (or attractive to) millennials, we were quite surprised when we came across this piece by the FT which suggests that in fact, millenials are less entrepreneurial than their counterparts from Generation X\u2026","rel":"","context":"In &quot;Worth reading&quot;","block_context":{"text":"Worth reading","link":"https:\/\/enterpriseam.com\/egypt\/category\/lifestyle\/worth-reading\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2018\/11\/217.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":657832,"url":"https:\/\/enterpriseam.com\/egypt\/2024\/12\/26\/millennials-are-sick-of-being-work-machines\/","url_meta":{"origin":566562,"position":2},"title":"Millennials are sick of being work machines","author":"enterpriseam admin","date":"26 December 2024","format":false,"excerpt":"Modern work ethic ties identity and self-worth to career achievement and financial success","rel":"","context":"In &quot;FOR YOUR COMMUTE&quot;","block_context":{"text":"FOR YOUR COMMUTE","link":"https:\/\/enterpriseam.com\/egypt\/category\/for-your-commute\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2024\/12\/2336.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":670017,"url":"https:\/\/enterpriseam.com\/egypt\/2025\/08\/12\/gen-x-professionals-are-getting-skipped-over-in-favor-of-millennials\/","url_meta":{"origin":566562,"position":3},"title":"Gen X professionals are getting skipped over in favor of millennials","author":"enterpriseam admin","date":"12 August 2025","format":false,"excerpt":"Younger professionals are in favor, in a shift owed to the rising importance of AI adoption in the workplace","rel":"","context":"In &quot;FOR YOUR COMMUTE&quot;","block_context":{"text":"FOR YOUR COMMUTE","link":"https:\/\/enterpriseam.com\/egypt\/category\/for-your-commute\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2025\/8\/723.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":612534,"url":"https:\/\/enterpriseam.com\/egypt\/2023\/12\/24\/millennials-are-freaking-out-over-the-enshittification-of-the-interwebs\/","url_meta":{"origin":566562,"position":4},"title":"Millennials are freaking out over the enshittification of the interwebs","author":"enterpriseam admin","date":"24 December 2023","format":false,"excerpt":"The \u201cFediverse\u201d could offer hope to Millennials just as they start \u201caging out\u201d of the internet. 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