Currently the largest generation in the American workforce, Millennials are choosing unconventional banking options more than any other generation. The research found that the main reason for this is a distrust in banks, cited at 48%.
New national study finds Millennials don’t have checking accounts and @Paycards is promising solution. #LetsGoGCC
The national study, being released today in a white paper titled, “New Financial Reality: The Rise of Non-Traditional Wage Management,” revealed that paycards are viewed by this generation as a viable and beneficial solution to avoid traditional banking methods.
One third of Millennials – over 29 million workers – said that they found the concept of a paycard valuable and 64% believe paycards should be offered by employers. While having additional payroll choices was part of the appeal, paycards were also identified as having a positive effect on financial habits. 75% of current paycard users said that paycards help them save for retirement, and roughly one-third of Millennial workers – more than 18 million people – expect this would be the case if they received their wages on a paycard as well. With Millennials and current paycard users shown to be the most likely to receive payroll education and understand their options, these findings speak volumes.
Jason Dorsey, Millennial expert and researcher at the Center for Generational Kinetics, commented, “The landscape of personal finance management, including pay, is shifting dramatically, and that change is being led by Millennials. In order to attract the best talent and meet the needs of this generation entering the workforce in record numbers, employers must embrace alternative payroll options. Our study offers insights to help understand Millennials’ perspective and in essence… keep up with the change.”
Added Michael Purcell, Executive Vice President and Chief Marketing Officer of Global Cash Card, “This study validated for us that today’s employees don’t just recognize the benefits of paycards; they need them now more than ever. In an increasingly tech-driven and connected world, we help employers meet the changing demands of young workers through our affordable and convenient paycard services.”
Visit info.globalcashcard.com/paycardrevolution to download a copy of the white paper that offers a complete set of the findings, along with an infographic.