"Did you hear the cops finally busted Madame Marie
For tellin' fortunes better than they do." - Bruce Springsteen, 4th of July, Asbury Park (Sandy)
Despite Springsteen’s musical endorsement of boardwalk fortune tellers who tell fortunes better than the cops do, it is probably not a good idea to go to a fortune teller for financial insights.
Yet at least a quarter of millennials do exactly that, according to a survey, Money Talks, released today by Empower, a financial planning, investing and advice firm based in Greenwood Village, Colo.
At the same time, another quarter of the 2,000 Americans over the age of 18 surveyed said they would rather miss a flight than tell a stranger how much money they have, which is a basic necessity when engaging a financial professional.
Even though a majority of Americans said they believe more open conversations about money are the key to financial freedom, actually broaching the subject remains taboo for many, Empower said. Sixty-two percent of the survey participants said they do not talk about money with anyone, a slightly higher percentage (63%) said they do not talk about money with family, and 75% do not discuss it with friends. Forty-six percent do not even talk about it with their spouse or partner, the research said.
When it comes to relying on fortune tellers, fortunately only 10% of all ages said they rely on them for financial advice, but only 36% of all ages said they turn to a financial professional or advisor. Another interesting side note the survey revealed is that more people know Elon Musk’s net worth of nearly $190 billion (28%), than know their own family’s net worth (24%).
Some of the reluctance to talk about money was learned from early on: one quarter of American’s were taught it is impolite to talk about finances and only 32% learned how to budget while growing up. This may be part of what leads to one third of the survey participants saying they are stressed out about money and regularly worry about it.
But that reluctance has turned many adults into financial illiterates. Nearly half of adults said they have never been taught how to invest in the stock market, and, although an almost equal percent have been taught about saving for retirement and saving in a 401(k) plan, 37 percent said they have never talked about those things with anyone, the survey showed.
The lack of discussion has left many adults with some basic questions. Sixty-three percent wonder how much money they need for retirement; 58% want to know how to save; 52% do not know when they will be able to retire; and 33% want to know what a 401(k) plan is.
“Figuring out personal finance is intimidating and overwhelming for half of Americans (48%), and when it comes to managing their money, 39% said they don’t know where to start,” which raises an uncomfortable scenario, according to Money Talks.
“In a society where money talk is ingrained in people’s everyday lives, Americans are not talking about it enough in the ways that matter,” Empower said. “Staying tight-lipped about money is something people may no longer be able to afford.”