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Millennials are the “broke generation” — or at least, that’s what everyone says.
But here’s the truth: millennials are getting rich faster than Boomers and Gen X ever did.
More millennials own stocks & invest early.
Side hustles & online income streams are at an all-time high.
Financial independence is the new goal—not waiting until 65.
So if they’re getting richer, why does it still feel like everything is unaffordable?
How Millennials Are Getting Rich Faster Than Previous Generations
A recent analysis from MarketWatch shows that millennials are accumulating wealth at a faster pace than previous generations at similar life stages. The key? Strategic investments and higher risk-adjusted returns have contributed to rapid wealth growth.
In fact, the number of 401(k) millionaires has jumped by 27% recently, with millennials now beginning to join these ranks. But despite these gains, high living costs and housing affordability issues are still major barriers to financial freedom.
RELATED: How Millennials Choose to Use Their Money
Why Millennials Are Amassing Wealth Faster—And Why It’s Still Not Enough
A recent study from the Federal Reserve shows that millennials have a higher rate of wealth accumulation than Boomers and Gen X did at the same age.
✅ Stock market participation is up → More millennials are investing younger than any past generation.
✅ Entrepreneurship & side hustles are booming → Freelancing, e-commerce, and digital income streams are skyrocketing.
✅ Higher salaries than past generations → Millennials earn more than Boomers did at the same life stage.
In short: Millennials have cracked the wealth code earlier.
So why are so many still struggling?
The Financial Freedom Trap—Why Millennials Still Feel Broke
Even though millennials are earning and investing more, they’re also facing the worst economic conditions in decades.
❌ Housing affordability is at an all-time low.
- The average home costs 5x more than it did in the 1980s (relative to income).
❌ Inflation has crushed purchasing power.
- A $50,000 salary in 2000 had more buying power than $75,000 today.
❌ Wages haven’t kept up with cost of living.
- Millennials make more money—but also spend more just to survive.
This is why traditional retirement doesn’t make sense anymore. It’s no wonder millennials are experiencing phantom wealth.
The New Wealth Playbook—Why Millennials Are Choosing FU Money Over 401(k)s
Millennials aren’t chasing traditional retirement—they’re chasing FU Money.
Instead of relying on a 401(k) and government programs, millennials are building financial freedom on their own terms.
Here’s how they’re doing it:
✅ Building multiple income streams → Side hustles, freelancing, and passive income.
✅ Prioritizing assets over wages → Stocks, real estate, digital businesses.
✅ Working remotely & globally → More options = more control over money & lifestyle.
The real goal isn’t retirement—it’s control.
Millennials don’t want to stop working completely—they want the ability to work on their terms, not someone else’s.
RELATED: You’re Killing Your Wealth: 8 Simple Truths Sabotaging Your Finances
Will Millennials Ever Truly Retire?
The answer: Not in the way Boomers did.
Instead of waiting until 65, millennials are:
✅ Hitting FU Money early & quitting jobs they hate.
✅ Designing careers with flexibility & freedom.
✅ Earning passive income so they’re never 100% reliant on one paycheck.
The new retirement isn’t an age—it’s a financial number.
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