Talking about age, 30 years are already considered as young adults. This age range is the peak of the merging of adolescence with adult responsibility. Responsibilities can be achieved in various forms, one of which is financial. To prove it, let’s take a closer look at the average credit card debt for 30 year old.
At first glance, older millennial (25-35 years old) are extravagant generations. This is supported by the socio-technological developments that exist in their era. Various smartphone products, fashion, to self-aesthetics such as make-up finally helped undermine the economic stability achieved by previous generations. However, this does not necessarily condemn that millennial are all bad. Surveys prove that cultural adversity and community progression are able to accompany the impulsive spending. These things act as “bidders” in their wasteful habits.
Young Millennial Average Spending on Credit Cards
According to a survey conducted by more than 5000 people of various generations, young millennial ranks second in average credit card debt, the first position occupied by baby boomers (55-65-year-olds). This is arguably plausible, given that baby boomers have a fairly heavy burden, including mortgage loans, education, or medical expenses. They bear the credit card debt burden of almost $10,000. The study also proves that baby boomers focus themselves on paying debt instead of enjoying the property or things that they already paid. They rather pass it down to the young adult’s generation, that’s older millennial.
For the older millennial, their average credit card debt for 30 year old reaches almost $7,500. This figure is the result of a balance between spending and saving, where their generation has the characteristics of impulsive spending, while they also have a hobby of saving and investing. For millennial alone, their financial challenge is to manage expenses instead of increasing revenue. In addition, they are also likely to feel the impact of the global economic crisis in the last few decades that resulted in minimal resources and devaluation of the existing currencies. That’s what causes their fondness towards investing in something.
In the third position, it is occupied by older generation X (45-55) with an average amount of about $4,500. Unlike millennial, Generation X focuses more on how to pay their debts instead of starting saving and investing. These generations spend more of their time working on state and private organizations, with similar salaries throughout their ages. In addition, they do not want or cannot save for retirement. They believe that their financial life will be stable over time.
As mentioned earlier, the average credit card debt for 30 year old, baby boomers, and generation X reached a fairly high number in the past few decades. This leads to our awareness of what credit cards can do to us at any time.
After looking at the amount of average credit card debt for 30 year old, it seems that older millennial is a good example to apply in the application of financial and economic stability. The balance between saving, investing, and spending makes them have high savings and assets, albeit with a lot of debt.