IRVINE, Calif.--(BUSINESS WIRE)--According to a new study by The Center for Generational Kinetics and Global Cash Card, roughly five million Millennials do not have a checking account. 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%.
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. Also visit GlobalCashCard.com for more information and find @Paycards on Facebook and Twitter. #LetsGoGCC
About Global Cash Card
Founded in 2002 and headquartered in Irvine, CA, Global Cash Card offers payroll, incentive, gift, travel and per diem prepaid cards to its customers through a proprietary software the company developed and owns. Global Cash Card strives to lead in the creation, development, and implementation of the industry’s most advanced financial transaction processing and information technology systems. The team translates these advanced technologies into value for its customers through professional solutions and services worldwide. Certified as a direct processor on multiple financial networks, Global Cash Card operates in Visa/MasterCard certified operation centers with a primary network operations center in San Diego, CA and a secondary data center in Las Vegas, NV. For more information, visit GlobalCashCard.com.
About The Center for Generational Kinetics
The Center for Generational Kinetics leads original research to solve generational challenges for clients around the world. The co-founder Jason Dorsey is an expert on Gen Z and Millennials. The Center is known for uncovering surprising new trends, such as how Millennials are tech dependent rather than tech savvy, and that Millennials are breaking into two different generations. Dorsey’s deep understanding, diverse frontline experience, and quick wit about generational differences make him highly sought after for media opportunities and speaking engagements. The Center’s clients range from Mercedes-Benz to Marriott Hotels. Visit genhq.com for more information.