Generation Y : A Whole New Reality

“Ensuring quality higher education is one of the most important things we can do for our future generations” (Ron Lewis). There are more students enrolling in post-secondary schools than ever before and consequently there are more students acquiring large debts. Once a student graduates, they enter a $33,000 or more student loan debt (Students Loan Resources). These student loans continue to place graduates into large debts, which is largely caused by their lack of knowledge of available resources, and this impacts their everyday lives and future generations.

Here in the United States, there are many forms of consumer debt, which help contribute to the large sums of debt countless Americans find themselves faced with. Directly effecting many college students is student loan debt. Student loan debt is now the second largest form of consumer debt behind housing” declares the Federal Reserve Bank of New York (Grisales). This is due to the fact that student loan debt grew 7.1% in 2014 to $1.2 trillion (Grisales). If this statistic alone is not worrisome this next one is sure to be. The amount of debt in the housing market that helped to spark the last recession was only $1.3 trillion (Grisales). Due to the increased amount of debt required by students to attend college many students are feeling the wrath. According to the U.S. Census Bureau, “In 2014, 11.7 percent of females and 17.7 percent of males between the ages 25 and 34 were living with their parents” (Grisales). The fear of obtaining massive amounts of debt is driving the current generation of student’s to put off many future hopes and dreams. While causing them to move back home to save money. The current student loan crisis is crippling the economy and ruining the lives of American students.

In the U.S. students are encouraged to earn a college degree, but the cost of an education turns many away. “Driven by the allure of a decent salary with a college degree, Americans borrowed to go to school. Outstanding student debt doubled from 2005 to 2010, and by 2012 total student debt in the U.S. economy surpassed $1 trillion” (Mian, Sufi 167). There are plenty of opportunities to obtain funds for college, including one of the most common, student loans. A student loan is defined as “a common way to fund education, specifically college and graduate school, and they provide educational opportunities that you otherwise may not be able to afford” (Barr). Student debt is at an all-time high in America. Over half of all lower income

These fraught students display the future, and it’s not looking too bright. With higher education becoming a progressively distant dream for the average American, heftier loads will be landed upon those who can scarcely afford to reach their aspirations. These students are not simple figures on a statistical report, but they are young people at a point in their lives where they must be aided on the basics and essentials of financial lingo and repayment plans (Rajan, 2014). The liability imposed on the current generation can only be noted as atrocious and sleazy, obstructing any economic growth that might’ve been projected before realizing the trap they have fallen into. Worsening as we speak, The New America Foundation has declared that debt

According to federal agencies, student debt is crushing the middle class. According to the author, “the debt is stopping a growing proportion of families form buying homes, saving for retirement, and making purchases that will keep our economy on the road to recovery.” Different financial crisis have caused families to use their savings and home equities, which is usually how some families help pay for

It’s no secret in America that many college graduates are struggling to pay off their student loans. While looking at the statistics for how much is owed and how many college graduates are affected, it is clear that student debt is an issue and the need for a solution couldn’t be more urgent. The latest data show that across the country there are over “40 million borrowers” who share in “$1.2 trillion dollars” of student loans (Life Delayed). According to those numbers, that means that the average borrower has $30,000 dollars to pay off. With college tuition ever increasing, it is not hard to see how borrowing more money has becoming inevitable. According to Alan Greenblatt, a staff writer for NPR and CQ Researcher who focuses on

Higher education comes at an extremely high price. The excitement of graduating college to land the six-figure job is soon destroyed when students realize how much debt they’ve obtained. Dreams of owning a house and starting a family are shattered by the money borrowed to provide and guarantee students an excellent future. Instead of waiting to land the ideal job, students work multiple jobs to help ends meet. Struggling to stay afloat, millions of students become victims of one of the major economic crisis in the United States today; Student debt.

Although the growing cost of education is certainly one of the reasons for the rising student debt, there are several others. But the relationship between lender and student borrower is troubling. Students without much of a credit score or credit history are being approved for thousands of dollars in loans by lenders who are gambling they’ll be able to pay it back after getting a college degree. The wake-up call occurs after graduation when many students realize their loan debt exceeds any annual salary they’re able to earn–if they can find a job, that is (Touryalai). According to a new Wells Fargo study, about one-third of millennials say they would have been better off working, instead of going to college and paying tuition. More than half of the 1,414 surveyed, financed their education through student loans, and many say the if they had $10,000 the “first thing” they’d do is pay down their student loan or credit card debt (Touryalai). Student borrowers are delaying major life decisions, like buying a home or car, as a result of their student loans.

The Millennial Generation is earning 20 percent less than the Generation X and the Baby Boomers. Psychotherapist at NYU (according to the university’s website), Brooke Donatone argues in her article, “Why Millennials Can’t Grow Up” that millennials experience “extended adolescence that delays adulthood” (Donatone 1). The author believes that the reasons for that happening are parents by their helicopter parenting and the economy because there are less high paying jobs that allow millennials to be financially independent. Throughout the article, Donatone explains that there is evidence on how it is not millennials’ fault that they are experiencing delayed adulthood. Therefore, it is safe to assume that her intended audience are the parents

At the same time, a growing number of millennials are facing burdensome student loan debt. Rather than come out of college with pristine back-end ratios primed for a hefty mortgage, they are handcuffed by the debt that they have amassed in their early twenties. As the Pew Research Center has noted, 37 percent of people under the age of thirty have student loan debt. They contribute to the $1.3 trillion in student debt, leverage that could presumably be used for a mortgage or some other useful credit if it were not locked up already. Millennials are trying to increase their earning power by going to school so that they have the opportunity to advance economically, but it is simultaneously holding many of them back via years of extra debt—debt that is notably not going to a

Can you imagine yourself as an adult who just graduated from college, and has to move back home and live with your parents? Imagine waking up everyday and knowing that you have two hundred thousand dollars in student loans that has to be paid? There are many reasons that cause these problems, but today, large amounts of student debt and an increase in unemployment are the major problems that college graduates are facing. With the lack of jobs and no money, people are turning to their parents for food and shelter. In Rosie Evan’s essay “Boomerang Kids: What are the Cause of Generation Y’s Growing Pains,” she explains the causes of the delayed adulthood, and she also gives the messages to people and the government to offer better support to this generation. The causes of Generation Y’ growing pains are the amount of college’s debt, lack of employment and people becoming too dependent on technology.

In the United States today, the number of students graduating college with student loan debt is quite astonishing. In the article titled, “How the $1.2 Trillion College Debt Crisis Is Crippling Students, Parents And The Economy”, we will examine and break down the student loan debt crisis by the numbers. Today, almost two-third’s of students graduating college are graduating with an average of $26,000 in debt. For most students, $26,000 is a lot of money when the average annual income for a first year graduate is only in the mid $40,000 a year range. According to the Consumer Financial Protection Bureau, student loan debt has reached a new milestone, crossing the $1.2 trillion mark (Denhart, 2013, Introduction, par. 2). With student loan debt levels

The price of college tuition is at a record high, resulting in millenials having to find a job, such as a waiter, bartender, etc. in order to pay the loan debt. The massive amounts of extra work college students

The average debt suffered by every 2013 college graduate was a staggering $35,200 (Roos p. 2 par 1). According to experts, this is the worst the economy has been in 80 years (Thompson, par 4). There are so many things working against the generation of today from an economical standpoint. The housing market crash of 2007-2008 took a toll on the economy as a whole, but in turn managed to affect millenials more so than any other generation. Throughout American history, every generation has had one of the same major goals; get rich quickly and be more prosperous than the generation before. Even today as the country has grown richer, Generations X and Y (people up to the age of about 50) have amassed less wealth than their parents had when they were the same age. If this is not harrowing enough, the average net worth of a person aged 29-37 has been lowered by 21% since 1983 while the average net worth of a person aged 56-64 has more than doubled since the same year. It is depressing to think that millenials will almost indefinitely suffer more instability in their retirements than their parents or even their grandparents (Lowrey, p. 2 par 5). Someone at the age of 30 in 2013 was worth 21% less than someone at the age of 30 in 1983, meanwhile the net worth of an average 60 year old in 2013 was more than twice as high as a 60 year old in 1983. In other words, young people are getting poorer as older people becoming richer

Picture this: you are twenty two years old. You just graduated from college and you are about to start your first real job. You need money desperately to pay off your mountainous pile of student debt but more importantly, your phone just broke this morning when you were ordering your daily low-fat, non-dairy mocha macchiato and you need to buy the new iPhone. You haven’t been able to check Twitter in over three hours and the anxiety of not knowing what new offensive tweet from your newest president, Donald Trump, says is eating you alive. You call your parents for help because maybe, just maybe, they will help you out with money this one last time-- and of course they do… This is the typical life of over seventy-five million