Recently Ernst & Young (EY), completed their millennial survey. They surveyed 1,202 individuals between the ages of 20 and 36 across the United States. Their results show that millennials are changing but are not always staying well informed.
What are they up to?
More millennials own their home and have moved out of their parents’ house than in 2016. They are starting families and believe that they have a more entrepreneurial spirit than previous generations. But this entrepreneurial spirit isn’t being shown through business ownership. It isn’t from lack of ideas, 58% of millennials considered starting their own business, but 38% say they do not have the financial means to start a business. Gone is the idea that this generation is too entitled or that trophy culture has ruined them. More than 85% believe that working hard is very important to achieve their goals and the majority believe the best way to advance their career is to stay with one company and work their way to a higher position.
Where do they stand on our economy?
Millennials are willing to work hard and want to be loyal to a company but they are still not certain that our government is looking out for them. The majority of millennials, regardless of political views, believe that the tax burden should fall on large corporations. In 2017 corporate income taxes made up 9% of federal tax revenue with income tax making up 47% of that revenue. While they feel that corporations should take on more of the burden, half of millennials feel that they are paying the right amount of taxes. Unfortunately this concern is not reflected in their knowledge of the Tax Cuts and Jobs Act (TCJA). Less than 15% of millennials know what it is and how it will impact them. The majority know that a tax bill was passed, but do not know the impact it will have.
Are they right?
The TCJA cuts income tax percentages on almost all incomes and increased standard deductions. While the average millennial probably won’t be affected they should reach out to their tax consultant to ensure a correct tax return.
While the TCJA will not adversely affect most millennials, there is a concern for corporations and business owners. Reach out to us here at LGT today and let us help your business be as successful as possible.