Are millennials better or worse off than Gen-Xers?
Are millennials better or worse off than Gen-Xers at the same age?
Millennials are now the largest generation of people in Canada. They’re the most educated and diverse generation, but they face unique challenges…
- Millennials had higher after-tax household incomes than young Gen-Xers. Median after-tax household income between 25 and 34 years old
- Millennials in 2016 $66,500
- Young Gen-Xers in 1999 $51,000
- Millennials had higher assets and net worth than young Gen-Xers, but they also carried more debt.
- Homeownership, living in Toronto or Vancouver, and having a higher education were three factors associated with higher net worth.
- Millennials are relatively more indebted… Debt-to-after-tax income ratio
- 216% Millennials in 2016
- 125% Young Gen-Xers in 1999
- Though millennials are entering the housing market at similar rates as previous younger generations, they are taking on larger mortgages.
- Though their median net worth is higher, there are greater differences in economic well-being among millennials. Millennials in the top 10% held 55% of all total net worth accumulated by their generation.
Notes: Unless otherwise notes, millennials represent those between 25 and 34 years old in 2016, and young Gen X-ers indicate those between 25 and 34 years old in 1999.
Results are presented in 2016 current dollars and adjusted for inflation to allow a comparison over time. Statistics provided refer to the age and generation of the major income earner in the household or family.
ASSETS VS. LIABILITIES
Assets are what you own:
- The value of your residence
- Checking account
- Investment accounts
- Retirement account
- Savings account
Liabilities are what you owe:
- Unsecured debts
- Car loan
- Student loans
- Accounts payable
- Income taxes payable
- Bills payable
- Bank account overdrafts
- Accrued expenses
- Short-term loans