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Gen Ys risk financial disappointment
Gen Ys need to do more to achieve their financial goals, according to a new REST Industry Super survey that found over 75 per cent of Gen Ys expect their future to be comfortable or very comfortable.
REST's latest research aimed to look at ways in which government, community and the financial services sector could assist Gen Ys in attaining their goals. The survey of 600 Australians, aged 18 to 30, asked questions about work ethic, salary expectations and home ownership goals.
Results reflected an optimistic outlook, with over 90 per cent of participants believing they would own their own property at some stage, 15 per cent believing they would be rich, and over 50 per cent positive about the next 10 to 15 years of their career.
While participants responded positively about their financial prospects, many already carried debt and healthy savings habits often satisfied short-term goals.
According to REST Industry Super chief executive Damian Hill, these factors and a lack of financial literacy could mean many Gen Ys will fall short of their expectations. He advised aligning their budgets with their goals by employing tools such as monthly forecasts.
He also pointed to additional superannuation contributions and managing one super fund only as the path to a comfortable retirement.
"Taking their superannuation with them as they change jobs is getting easier, so now it is almost like taking their bank account with them," Hill said.
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