Generation Financial Wellness: Talking about MillennialsMillennials came of age during a period that included the Great Recession, underemployment, rising home prices, and soaring student loan debt. Not surprisingly, many have been slower to build wealth than previous generations.1 Here’s what you need to know about Millennials and the unique financial pressures they face.

FOR FINANCIAL PROFESSIONAL USE ONLY. NOT FOR USE WITH THE PUBLIC.

Based upon MIT AgeLab’s surveys - Impacts of COVID-19: Personal Financial Behaviors - taken between March 17-19, 2020.

Millennials at a Glance

COVID-19: How Concerned are Millennials?

Financial Challenges Ahead?

(Born 1981 - 1996)

America’s largest living adult generation2

Entered the workforce during time of significant economic and cultural change

Lower real incomes and fewer assets than previous generations at comparable ages3

of Millennial workers have less than

$1,000 saved for emergency expenses4

have student loan(s); 74% of those say

those loans have a moderate/significant

impact on their ability to meet other

financial goals5

Millennials have retirement savings, but

nearly half have saved less than

$10,0007

say they’d likely tap retirement savings prior to retirement

for unexpected expenses6

Participants were asked about their COVID-19-related worries in different financial domains. Higher household income was associated with higher levels of worry across all financial domains, including retirement savings.

40% 8 in 1055%37%

Savings and/or investments (not retirement-related)

Longer-term financial goals

Current or near-term financial plans

Mean level of worry

Scores range from 1 to 5; higher scores indicate higher levels of worry.

2.5% 3.53

How to Connect with MillennialsNearly half (48%) of Millennials reported finances as the top challenge they face as a result of COVID-19. Here are some tips to help empower Millennials to take charge of their short-term money needs so they can focus on longer-term goals, like saving for their future.

With MassMutual’s leading-edge financial wellness solutions, easy-to-access education and guidance, and virtual capabilities, we can help you become the MVP (Maximum Value Partner) for your clients, prospects, and every generation of employees.

Focus on financial freedom.While many Millennials participate in their workplace retirement plan, many don’t relate to the concept of retirement. To resonate with younger workers, talk in terms of building financial independence so they can have the freedom and flexibility to create the life they want for the future.

Recognize they see themselves as “free agents.”Half of Millennials say their loyalty to their employer is influenced by how much the company cares about their well-being.8 Providing participant-centered tools that speak to employees’ needs and concerns and actively engage them in building financial wellness can help demonstrate to employees that they are valued.

Make it actionable.Millennials generally like to see how their actions can lead to real results, both in the short- and long-term. Our MapMyFinances® online tool makes it easy for employees to measure their financial wellness, create a game plan for helping to reach their short- and long-term goals, and track their progress.* It also makes it easy for them to implement recommendations by integrating access to products and solutions, like Health Savings Accounts (HSAs), student loan repayment plans, and voluntary group whole life, to help them get their finances on track.

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¹ Millennials and Retirement: How Bad Is It? Politico, June 7, 2018. https://www.politico.com/agenda/story/2018/06/07/millennials-preparing-for-retirement-000670/

2 Pew Research Center, FactTank. April 28, 2020. https://www.pewresearch.org/fact-tank/2020/04/28/millennials-overtake-baby-boomers-as-americas-largest-generation/

3 Federal Reserve Board, Washington DC. 2018. https://www.federalreserve.gov/econres/feds/files/2018080pap.pdf4 PwC’s 9th annual Employee Financial Wellness Survey. May 2020. https://www.pwc.com/us/en/industries/private-company-

services/images/pwc-9th-annual-employee-financial-wellness-survey-2020.pdf5 Ibid.6 Ibid.7 Millennials & Retirement 2020. Insured Retirement Institute January 2020. https://www.myirionline.org/docs/default-source/

default-document-library/iri_millenial_whitepaper_final_2020.pdf?sfvrsn=08 Wellbeing by Generation, November 2019. Gallup https://www.gallup.com/workplace/268025/wellbeing-generation-thrive-

others-struggle.aspx

Let’s Face Forward. Together.

You can rely on us to provide you with a differentiated and practical approach to getting back to business in this new reality.

For more information:

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Contact your local MassMutual Sales

Representative

Call our Retirement Sales Desk at

1-800-874-2502, option 4

Go to MassMutualatwork.com

* Guidance may not be available for certain products. Guidance is based on MapMyFinances assumptions and information provided by the employee and employer.

®

The views expressed may change based on market and other conditions. The material provided is informational and should not be construed as investment advice. Actual results may vary.