Young people have caught the savings bug, according to a recent survey by CIT Bank.
More than half of Gen Z¸ the newest generation, and millennials, those born between 1980 and 2000, are making a New Year’s resolution to save more in 2019, the survey said.
For Gen X, those born between 1964 and 2000, and baby boomers, those born between the end of World War II and 1964, only one-third are including saving in their New Year’s pledges, according to the survey of 1,404 U.S. adults.
The “Gen Z and millennial generations are demonstrating how much they value preparing financially for future priorities,” said Ravi Kumar, head of internet banking at Pasadena, Calif.-based CIT Bank. “These generations are leading the way in setting consistent, manageable saving goals for 2019.”
Gen Z and millennials also may be ahead of older consumers in getting the New Year started well financially, the survey said. For Gen Z, 36 percent said they saved consistently for holiday shopping, and for millennials, 37 percent had a nest egg to rely on. Only 30 percent of Gen X and baby boomers could say the same.
Despite variations in making saving a priority, three-quarters of the survey participants said they are willing to try to stick to a strategy that encourages saving $100 each month in 2019.
“From working out to staying organized, the most popular resolutions have one thing in common: they focus on forming a habit,” Kumar said. “Keeping a New Year's goal is a challenge for most, however, automating your savings ensures you can stick to your goals without any added effort.”