Millennials: Here Are 8 Key Signs You’re Doing Better Financially Than Boomers Were at Your Age

Everyone dreams of reaching financial freedom — and this is especially true if you’re a millennial struggling to balance student loan debt with being able to afford rent. Compared to generations past, it can seem like you’re behind in life. 

One study, however, notes that millennials are not all worse off than their baby boomer counterparts.

“Those living more ‘typical’ middle-class lifestyles often have more wealth than their boomer parents did at the same age,” the study reported.

Here are some key signs you’re doing better financially than you might think.

“If you are a millennial who has been prioritizing saving for retirement for a while now, you are likely doing much better than boomers were at your age,” said David Kemmerer, CEO of CoinLedger.

“Most boomers didn’t begin saving for retirement until their mid-thirties, and I have noticed a positive trend in which many millennials started saving for retirement while still in their twenties. This puts them on a better path toward retirement than their boomer predecessors.”

Other experts similarly agree.

Jake Hill, CEO of DebtHammer Consolidation, noted that the average age at which boomers started saving for retirement was 35. 

“So, if you are a millennial who started saving for retirement before that age — I know many started in their early twenties — that is a fantastic sign,” he explained.

He said this shows that you are planning for your future more effectively than boomers did, which means you may be able to fare retirement living better than many boomers currently are.

According to experts, one of the most telling signs that millennials are outpacing boomers financially at the same age revolves around technology and its impact on personal finance management. 

“Unlike boomers, who relied on traditional banking and investing avenues, millennials have embraced online platforms and apps for budgeting, investing, and saving,” said Dennis Shirshikov, head of growth at Awning.

He said this digital savviness enables them to optimize their finances, often leading to more informed decision-making and, potentially, to greater wealth accumulation at a younger age. 

For instance, he said the ease of accessing robo-advisors and online investment platforms has democratized investing, making it more accessible and less intimidating for millennials than it was for boomers.

According to Shirshikov, another indicator is the shift in attitudes toward debt and savings. 

“While generalizations can be risky, there’s evidence suggesting that millennials, perhaps spurred by witnessing the financial crises, have adopted a more conservative approach towards debt and a more aggressive stance on savings.”

He explained that this generation is more likely to question the value of traditional debt-heavy investments, such as a college education, weighing them against their long-term financial goals.”

Andy Chang, founder and CEO of The Credit Review, agreed.

“Despite facing significant debt, notably from student loans, millennials are aggressively paying down debt and are more cautious about incurring new debts, a mindset that wasn’t as prevalent among boomers.”

The concept of “financial independence, retire early” (FIRE) has gained traction among millennials, said Shirshikov, underscoring a generational shift toward early financial planning and independence. 

“This movement, emphasizing aggressive savings and investing to achieve early retirement, contrasts sharply with the traditional boomer approach of steady employment until standard retirement age.” 

He said it’s a philosophy that has not only inspired millennials to prioritize their financial health but also to redefine what success looks like at different stages of life.

According to Chang, higher educational attainment among millennials is a strong marker of their financial advancement. 

“With education being closely linked to earning potential, millennials, on average, have more degrees than boomers did, which positions them for higher-paying jobs.” 

Another key sign that millennials are potentially doing better financially than boomers were at their age is their approach to estate planning and investment, said David Brillant, tax, trust and estate lawyer at Brillant Law Firm.

“In my practice, I’ve noticed that millennials are starting to seek estate planning advice earlier than boomers did.” 

He said this proactive approach to planning for the future indicates a forward-thinking mindset toward wealth accumulation and management. 

“Unlike previous generations who might have delayed such planning until later in life, millennials seem more eager to establish a solid financial foundation early on.”

“Another observation I’ve made involves the nature of investments millennials engage in, contrasted with those of the boomer generation,” Brillant said. “Millennials tend to diversify their investment portfolios more widely, including digital assets like cryptocurrencies, along with traditional stocks and real estate.”

“This diversification, observed through my clients’ estate planning strategies, suggests that millennials are more willing to explore alternative investment paths to achieve financial success.”

Millennials’ ability to navigate and capitalize on these modern investment vehicles reflects a broader understanding of the global financial landscape and the opportunities it presents.

Mike Kojonen, financial advisor and owner of Principal Preservation Services, also points out that millennials are more likely to embrace nontraditional investments (such as cryptocurrencies and tech startups), and this highlights a broader diversification of their investment portfolios than what was common among boomers. 

“Despite the inherent risks, this wide-ranging investment strategy could lead to high rewards due to early investments in emerging markets and technologies.”

“My interactions with both millennials and boomers have shown that the former group is more likely to seek financial advice and education earlier in life,” Kojonen said.

He said this willingness to learn and adapt can be a crucial factor in avoiding the financial pitfalls that some boomers faced, such as insufficient retirement savings or overreliance on Social Security. 

Experts agree that this combination of savings strategies, technological adoption and financial literacy could significantly enhance millennials’ financial well-being relative to the boomers’ experiences at similar stages of life.