Millennials better educated, but making less

Another report is out that points to the difficulty of growing boating to younger buyers.

Per the Washington Post’s Wonkblog:

Over the past four decades, young American workers saw their average incomes decline by 5.5 percent after adjusting for inflation, according to new figures published Wednesday by the U.S. Census Bureau. In 1975, workers aged 25 to 34 had a median personal income of $37,000 in modern dollar terms. In 2016, that number was down to $35,000.

Earnings have declined despite the fact that today’s young people are better educated than 40 years ago. Thirty-seven percent of young people had a bachelor’s degree last year, compared to 22.8 percent in 1975.

There were a number of explanations given for the decline ranging from a generally more unequal economy to a more educated older workforce, as well.

One factor worth noting is that there are more women in the workforce and they are making more than in 1975. Then, less than half of women 25 to 34 were working, while in 2016, about 70 percent of women of those ages were employed. The average income increased 28.5 percent from $23,000 to $29,000 in 2015 dollars.

The average income for men 25 to 34 declined from $46,000 in 1975 to $40,000 last year.

Young men are also more educated — 34 percent now have a bachelor’s degree, compared to 27.4 percent of their counterparts 40 years ago. Last year, roughly 5 in 6 were working and two-thirds had full-time, year-round jobs, figures that have changed little since 1975.

This also comes at a time when many in that age group are saddled with crushing college loan debt and rising home prices. That combination of less income and more expenses doesn’t bode well for activities like boating, golf, etc., among that age group.

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