The Recession's Silver Lining: A Financially Savvy Youth


The Recession's Silver Lining: A Financially Savvy Youth

New Survey Shows Greater Financial Awareness Among Young Americans in 2013

OMAHA, Neb.--(BUSINESS WIRE)-- One year closer to financial independence, Gen Z is growing more concerned about the job market, among other economic and financial issues, according to the 2nd Annual Generation Z Survey, released by TD Ameritrade Holding Corporation (NYS: AMTD) . This year, 34 percent of respondents say their top economic concern is jobs and unemployment, up from 26 percent in TD Ameritrade's 2012 Generation Z Survey. In addition:

  • They are more worried about large student loan debts (46% vs. 39% in 2012)

  • They are increasingly concerned that they won't be able to rely on Social Security when they retire (39% vs. 31% in 2012)

  • They are more likely to believe saving is important at this stage in their lives (83% vs. 76% in 2012)

  • The majority (59%) of Gen Z with credit cards say they pay their balance off in full each month when they receive their statement, which is an increase from the 23% doing so in 2012

While coming of age during a recession may encourage conservatism and a good understanding of the importance of saving, some in Gen Z are missing critical opportunities to start good financial habits early:

Fact: Four out of 10 (41%) Gen Z respondents do not pay their credit card balance off in full every month, including a third (31%) who only pay their balance off in full one statement in every two or fewer. The average balance held on Gen Z's last credit card statement before payment was $485.

Fact: Forty-four percent of Gen Z respondents say the best way to save for retirement is in a savings account, while only 11 percent think investing in the stock market is best.

Fact: While most Gen Z respondents say they have checking and savings accounts, nearly 1 in 5 do not have any savings/spending vehicles of their own.

Fact: More than half of those in Gen Z follow a budget. A quarter (27%) follow one carefully and another quarter (26%) follow one, but not very closely.

Fact: One-third have installed banking apps on their smartphones, and a smaller group of 8 percent say they have installed budgeting/savings apps. That's more than those with Snapchat (26%) but significantly less than those with YouTube (83%), Facebook (78%) or Twitter (44%) apps.

"When it comes to establishing good financial habits, starting at a young age is key," says Carrie Braxdale, managing director of investor services for TD Ameritrade.* "We encourage parents to talk to kids about money, and the survey suggests Gen Z will listen - six out of 10 say their parents are the most influential source of financial education."

There are many free online resources to help Gen Z get started, such as, a new third-party site that gives young adults a glimpse into investing via their social networks. TD Ameritrade also offers free online tools and an online financial education center at

For the latest news, follow the Company on Twitter @TDAmeritradePR.

*TD Ameritrade, Inc. ("TD Ameritrade"), a broker/dealer subsidiary of TD Ameritrade Holding Corporation.

Likefolio is separate from and not affiliated with TD Ameritrade, which is not responsible for Likefolio's policies, services or content.


About TD Ameritrade Holding Corporation

Millions of investors and independent registered investment advisors (RIAs) have turned to TD Ameritrade's (NYS: AMTD) technology, people and education to help make investing and trading easier to understand and do. Online or over the phone. In a branch or with an independent RIA. First-timer or sophisticated trader. Our clients want to take control, and we help them decide how - bringing Wall Street to Main Street for more than 38 years. An official sponsor of the 2014 and 2016 U.S. Olympic and Paralympic Teams, TD Ameritrade has time and again been recognized as a leader in investment services. Please visit TD Ameritrade's newsroom or for more information.

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About Head Research

Head Research is a division of Head Solutions Group (U.S.) Inc., a leading market research partner for Financial Services companies in North America. With offices in New York, Toronto and Montreal, Head delivers the deep customer insights that increase institutional knowledge and propel business action. TD Ameritrade and Head Research are separate and unaffiliated firms, and are not responsible for each other's services or policies.

About the Gen Z and Money Survey Methodology 2013

An online survey was conducted among N=1,000 Americans aged 14 to 23 from April 25 to May 6, 2013, by Head Research on behalf of TD Ameritrade, Inc. Sample was drawn from major regions in proportion to the U.S. Census. The statistical margin of error for overall survey results in this study is +/- 3% (assumes panelists do not differ from non-panelists, and respondents do not differ from non-respondents). This means that, in 19 out of 20 cases, survey results for questions based on all survey respondents (N=1,000) will differ by no more than 3% in either direction from what would have been obtained by measuring the opinions of all Americans aged 14 to 23.

About the Gen Z and Money Survey Methodology 2012

2,001 U.S. residents participated in an online survey from April 27 to May 1, 2012. The 2,001 survey respondents sample was drawn from major regions in proportion to the U.S. Census - New England (5%), Mid-Atlantic (16%), South (25%), Midwest (22%), Southwest (12%) and West (20%). In each region, approximately half of the respondents were male and half were female. The two primary groups included were: Gen Z = 1,001 (born 1990 to 1999) and Parents of Gen Z = 1,000 (has a child in their household aged 13 to 22). The statistical margin of error in this survey is ±3.1%. This means that in 19 cases out of 20, overall survey results for primary groups in the study (i.e., Parents of Gen Z vs. Gen Z) will differ by no more than 3.1% in either direction from what would have been obtained by measuring the opinions of all target group members born in the U.S. Head Research conducted this survey on behalf of TD Ameritrade Holding Corporation.

TD Ameritrade Holding Corporation
For Media:
Christina Goethe, 201-369-8541
Communications & Public Affairs
On Twitter@TDAmeritradePR
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Jeff Goeser, 402-597-8464
Investor Relations & Finance

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