According to a survey, 14 to 25 year olds not only have an astonishing amount of money at their disposal, they also save a large part of it: 141 euros per month. However, they don’t like to talk about their finances, another survey shows.
Whe believes that young people don’t worry about their future and immediately spend all their money – that’s wrong. Saving is still a popular trend among young people: Compared to last year, the proportion of young savers has increased by as much as 4 percent. This means that 85 percent of young people in Germany save money every month.
This is the result of a representative online survey conducted by Deutsche Bank among more than 1,000 schoolchildren, trainees, students and professionals between the ages of 14 and 25. The survey was carried out from the end of June to the beginning of July. The adolescents and young adults have an average of 482 euros per month at their disposal; quite a high number considering the fact that the survey already examines the saving behavior of 14-year-olds.
But the broad target group also includes working people up to 25 years of age, who should drive the cut up. Of the 482 euros, young people put an average of 141 euros on the high edge. Their savings rate is thus still at a high level and at 29 percent it is almost three times as high as that of private households in Germany in 2018. Young men save an average of 159 euros per month, significantly more than young women with 124 euros. However, young men also have more than 100 euros more income than women.
You do not talk about money
Admittedly young people always prefer to save – but that doesn’t mean that they also want to talk about money. Another study by the Comdirect credit institute shows: Not even every second person likes to talk about finances – according to the very German motto: “You don’t talk about money”. In women it is even less on average; here it is only one in three who wants to make money as a topic of conversation.
The higher the level of education, the more people talk about money. Young people prefer to talk about vacation, followed closely by school or work. In January of this year, 1,600 young people between the ages of 16 and 25 were interviewed for the study.
It is not surprising that more than half of the young people save on a specific occasion such as a driver’s license, car or travel. For young women, however, such “consumer wishes” are more in focus than for young men. 20 percent of 14 to 25 year olds put money aside for their training, studies or internships, 13 percent for old-age provision. But young people also make provisions for their future.
The proportion of men who save for old age is 17 percent and for women 9 percent. This saving behavior is also reflected in earlier studies and is now confirmed by Deutsche Bank. And although the young generation is saving as a precaution, they are confident about the near future: 63 percent assume that their financial situation will improve in the next six months. Only 9 percent expect it to get worse.
Professional advice continues to be popular
When it comes to forms of savings, young people rely on tried and tested methods: 64 percent of those surveyed use a savings plan or savings account. Far behind on the popularity scale are the overnight money account and the building society loan agreement. 12 percent invest in stocks and funds – although men are still more willing to take risks than women: Young men are far more likely than the female respondents to decide to invest in stocks and funds. 5 percent of 14 to 25-year-olds opt for the Riester pension, and 4 percent for life insurance.
When it comes to important financial issues, the young people rely on professional advice: Two thirds of those surveyed trust expert advice from asset and bank advisors. When it comes to day-to-day banking, on the other hand, online and mobile banking are becoming increasingly important, according to the Deutsche Bank survey. For 80 percent of young adults it is important to be able to deal with financial matters on the Internet. In particular, the use of mobile devices is increasing.
70 percent now do their banking on the go with their smartphone or tablet. For comparison: in 2018 that was 63 percent. The high affinity of young people to their smartphones is also evident when paying: two thirds of young people can imagine paying smaller amounts with their smartphones when shopping in the supermarket or at the gas station. Young men are a little more open to paying with smartphones than young women.