A new survey by TD Ameritrade of Generation Z—those between 13 and 22—found the next generation of investors are, contrary to popular belief, keenly aware of the importance of money, with their top financial concerns evenly split between being able to afford college (39%) and having a large student loan balance (39%).
TD Ameritrade’s Gen Z survey, released on Wednesday, also found that these youngsters do not necessarily prefer electronic communication to personal connections.
Gen Z’s worries over student loan debt are warranted as they’ve watched their parents struggle to pay back their own student loans—58% of Gen Z parents who were surveyed said they took out their own student loans, and of these, 43% are still paying them back. When asked what they would do with an extra $500, 55% of Gen Z respondents said they would save it, with another 11% saving it specifically for college.
The good news is that more than half (51%) of those parents who are still paying back their own college loans also have a 529 college savings plan set up to support their Gen Z child’s education.
When it comes to concerns about the economy, Gen Z and their parents said they were worried about the same things: jobs and unemployment, mentioned by one out of four survey respondents.