Answer (from Better Money Habits study): Financial Independence

From the study:

A new Bank of America Better Money Habits report, released Oct. 6, found “financial independence” was the top priority of about 40% of the 18-26 year olds they asked to define adulthood.

Moving out on your own? Just 14%.

Getting married and starting a family or getting an education? Just 7% each.

“It’s not so much that young adults are having trouble with adulting – they’ve simply redefined it,” said Michele Barlow, enterprise marketing executive at Bank of America.

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Questions for your students:

• How do you define “financial independence?”
• At what age do you hope to achieve it?
• What steps are you taking now to achieve financial independence?
• How do you think this class can help you on the path to financial independence?

About the Author

Tim Ranzetta

Tim's saving habits started at seven when a neighbor with a broken hip gave him a dog walking job. Her recovery, which took almost a year, resulted in Tim getting to know the bank tellers quite well (and accumulating a savings account balance of over $300!). His recent entrepreneurial adventures have included driving a shredding truck, analyzing executive compensation packages for Fortune 500 companies and helping families make better college financing decisions. After volunteering in 2010 to create and teach a personal finance program at Eastside College Prep in East Palo Alto, Tim saw firsthand the impact of an engaging and activity-based curriculum, which inspired him to start a new non-profit, Next Gen Personal Finance.

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