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Thecost of livingcontinues to rise.
In the past decade alone, thecumulative inflation ratewas 33% with an average inflation rate of 2.92%.
Wages, however, havent always kept up with rising costs.
Real Estate
The cost of housing has risen rapidly over the decades.
Younger millennials especially often find themselves needing roommates just to afford housing costs.
Both rental and purchase prices are exorbitantly high in many parts of the U.S.
The average 901-square-foot apartment rental costs$1,748.
The average home sales price in Q3 2024 was$501,100.
Millennials who want to buy property can expect prices to continue going up in the coming decade.
Interest rate hikes further complicate affordability.
Healthcare
Healthcare and medical expenses are another big financial problem for millennials.
According to thePeterson-KFF Health System Tracker, the total health spending was $74.1 billion in 1970.
It was $1.4 trillion just 30 years later.
Breaking this down further, the average annual growth rate of health spending in the 2010s was 4.8%.
Healthcare costs continue to outpace inflation, said DeLonde.
This makes it crucial to plan for higher premiums and out-of-pocket expenses.
Higher Education
And then theres higher education.
A decade prior, it was $26,739.
In comparison, the national average wage index in 2014 was$46,482.
It was $66,622 just 10 years later.
Thats a $20,140 increase in wages, and $8,509 increase in annual tuition costs.
For millennials with children or those seeking advanced degrees, education costs will remain a challenge, said DeLonde.
Here are some tips from DeLonde:
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