Many Hispanics say they’re ‘highly disciplined’
A considerable number of immigrants who come to the U.S. from overseas thrive in the job market, enabling them to send money to their families back home. For those who wonder why, it may be because they learned what kind of discipline is necessary to perform well in the job market while they were going through school.
According to a recent study released by the life insurance company Northwestern Mutual, nearly two thirds – 62 percent – of Hispanic college graduates said they were "disciplined" or "highly disciplined" individuals and they've applied this self-restraint in their financial planning habits.
William Taylor vice president of Northwestern Mutual, noted that even though it's not a surprise, it's encouraging to see that so many people who come to the U.S. for greater opportunity have learned what it takes to succeed.
"It is great to see that many Hispanics have the financial habits instilled to ensure a stable future for themselves and their families," said Taylor.
Young Hispanics more inclined to describe themselves as disciplined than older generation
Not everyone has been able to apply these strict forms of financial handling, though, he noted. For example, the study found that while three in every four young adults considered themselves to be "disciplined" or "highly disciplined," the same could not be said for older individuals of Hispanic heritage. Just 44 percent of college-educated Hispanics 55 years old or older said they considered themselves to be more informal in their financial preparations. There was also a sizable difference among women compared to Hispanic men between 18 and 34 years old.
"While the results of the study illustrate that many are on the right track, it also highlights an opportunity to educate those who are taking a more casual approach to financial planning, namely, older Hispanics and Hispanic women, to help them get to – and through – retirement," said Taylor.
Marriage may play a role
The survey also looked at how other life factors may influence financial discipline. Whether respondents were married appeared to play a role, as 67 percent of college-educated Hispanics who had a spouse said they had a financial plan in place. This contrasted sharply with the 46 percent of college-educated Hispanics who had no marital commitments.
The extent of respondents' educational pursuits may have had an influence as well. The Northwestern Mutual survey revealed that nearly eight in every 10 Hispanics who had a Master's in Business Administration described themselves as being disciplined with their financial habits.
Most Americans average regarding money matters
According to a Financial Literacy Survey conducted by Bankrate.com, approximately 70 percent of Americans consider themselves to be "good" or "excellent" at money matters and handling their finances. However, when the consumer financial services firm tested these respondents' abilities, few scored higher than a "C," which is average.