Financial Strain Across Generations: Tax Refunds Offer Relief Amidst Rising Debt
Tax Refunds: A Lifeline for Younger Generations and a Relief for Gen X
Many Americans are eager to get their tax refunds with over half already filing their taxes early to speed up the process. A survey found that younger folks like Gen Z and millennials, are especially keen on getting their refunds. For them, this money is crucial for paying rent and buying groceries. About a third of taxpayers regardless of age plan to use their refunds for essential needs.
The burden of student loan debt weighs heavily on Gen Z and millennials with over half relying on their tax refunds to help pay off these loans. But it is not just the younger generations feeling the financial squeeze. Gen X is also struggling with debts nearly equal to four years of their income. Despite this owning a home and caring for dependents can bring tax benefits for Gen X giving them some relief.
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Tax Refunds – Younger Generations Quick to Spend: How Do Boomer and Gen X Debt Compare? (PHOTO: Nasdaq)
Baby Boomers’ Wealth Faces Uncertain Future Amid Rising Healthcare Costs
Meanwhile, baby boomers hold the lion’s share of wealth in the U.S., with nearly $80 trillion. However, much of this wealth might not be passed down to heirs due to high healthcare costs for older Americans. So while boomers are rich in assets, their wealth might not trickle down as much as expected.
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