People in their twenties earn more today, but are less likely to own a home

© Hollandse Hoogte / Patricia Rehe
People in their twenties are leaving home later, staying in education for longer and are more likely to be employed nowadays compared to ten years ago. They are earning more, but are less likely to own a home. People in their late twenties have more assets, while those in their mid-twenties have more student debt than in the past. This is according to new figures released by Statistics Netherlands (CBS) in which statistics about people in their twenties today were compared with figures from ten years earlier.
Nowadays, people in their twenties are leaving their parents’ home later. In 2011, 58 percent of 23-year-olds were living independently, compared with 50 percent in 2022. The older that people in their twenties are, the more likely they are to own a home. In 2022, 2 percent of 20-year-olds and 43 percent of 29-year-olds owned their own home, while living away from their parental home. In 2011, those living independently were more likely to own a home: 3 percent of 20-year-olds and 54 percent of 29-year-olds.


Staying in education for longer

People in their twenties are staying in education for longer than they used to. In 2013, 45 percent of 23-year-olds were in education, compared with 53 percent in 2023. The fact that young people are in education for longer means that there are more people with a higher level of education. Among 29-year-olds, 56 percent had college or university degrees in 2023, compared with 43 percent in 2013.


More likely to be employed

People in their twenties are more likely to be in work than they were ten years ago. In 2023, 84 percent were in paid employment, compared with 80 percent in 2013. Men in their early twenties, in particular, were more likely to be employed. Among 20-year-olds, 79 percent of men were working, up from 65 percent in 2013, and 76 percent of women, up from 74 percent in 2013. Among those in education, people in their early twenties were more likely to have a job. Among those not in education, all were more likely to be in employment.

Higher earnings

The average income of people in their twenties living independently is higher than it was ten years ago. Their median standardised disposable income, or ‘purchasing power’ in 2022 was 30 thousand euros, compared with 25 thousand euros in 2011. Purchasing power rose mainly among those in their late twenties, while that of 20 to 23-year-olds remained at around the same level.


More wealth

Most people in their twenties living independently have relatively few assets. However, people in their late twenties are wealthier today than they were ten years ago, on average. Median wealth among 24-year-olds living away from their parents was 40 thousand euros in 2022, up from 0 euros in 2011. This growth has partly been due to rising property values.


Higher student debt

More people in their twenties have student debt, and that debt is also larger than it was ten years ago. Among those with student debt, the median debt was 13 thousand euros in 2022, compared with 11 thousand euros in 2011. Student debt increased the most among people in their mid-twenties. The median student debt among 24-year-olds was 17 thousand euros in 2022, up from 11 thousand euros in 2011. Student debt increased in particular after the introduction of the student loan system in 2015. This loan system ended in the 2023-2024 academic year.

Sources

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