Americans whose parents set good financial examples are more likely to be among the 62% of Americans who have a financial plan and feel confident in their financial future, a new Genworth survey finds.
One important factor: We learn our financial feelings, attitudes and behaviors from our parents through both indirect teaching and observation. Survey respondents who had good parental examples were more likely to have a financial plan and to be confident in their financial future:
• 66% have a financial plan (versus 55% whose parents failed to set a good financial example);
• 71% feel confident about their future (versus 53% of the “bad parent” group); and
• 33% fear not having enough money for a comfortable retirement (versus 41%).
One surprise in the results: Younger Americans are taking steps early on to plan for their financial futures and are just as likely as other age groups to have a financial plan. Sixty-one percent of respondents ages 25 to 39 have a financial plan, compared with 61% of respondents age 40 to 50 and 63% of respondents over the age of 60.
"Since younger adults are characterized as living in the here and now, it might seem surprising that they are putting so much emphasis on long-term financial planning. However, their current generation's foundational years are occurring in a period of economic hardship and decline which is shifting this paradigm," says Dr. Barbara Nusbaum, a New York-based psychologist and money coach.
