Have you taken the time to think about how you spend your money compared to other generations? A recent study by SwitfMoney has revealed some interesting information.
We all have stereotypes about how other generations are saving, and it turns out that many of us are wrong. For example, I’m a millennial, and while most other generations assume we’re terrible with handling our money, the survey shows this simply isn’t the case.
82% of 18 to 24-year-olds said they would say no to a night out if they didn’t have the money for it. Compare that to the 35-44 age group, who would be more likely to use an overdraft even if they don’t have the money to spend.
I’ve also always assumed that baby boomers were the most responsible with their money. And 82% of the people surveyed agreed with me. But they’re actually the most likely to use emergency money or an overdraft so they can go have a night out or a nice meal.
While my grandma is definitely frugal, I’m a millennial and I would consider myself more frugal than my mum. I’m more concerned with putting money away for a rainy day, while mum has always been more inclined to spend it on the family.
One of the reasons why millennials have a bad reputation with money is because we’re often seen as complaining about our finances. But let’s not forget that this is the generation who were pushed to go to college, ended up with huge student loans, and then had no guarantee of a job after graduating.
Millennials are struggling, and after coming through the global financial crisis, many of us realise that we could easily lose what little financial security we have. That’s why so many millennials are interested in saving their money for a rainy day, investing it, or purchasing a home.
For me and my friends, Netflix and Hulu have become an answer to many of our problems. Luckily, it’s no longer expected that you’ll go out clubbing three times during the week, and there isn’t the same pressure to socialise as there was for our parents’ generation. The easy access to technology means we can be constantly communicating with friends and family- all from the comfort of our own homes.
Personally, I find I’m often more likely to have friends over for pizza and a movie than go out and spend a lot of money on a night out.
My mum’s generation, on the other hand, had it much easier in terms of job security. Purchasing a house was also a lot easier, so they had more flexibility with the amount they were spending. I also think that many of the people in the boomer generation are able to have riskier habits with their money since they’ve built up retirement funds or own property. For millennials who are still trying to achieve this, we can’t risk continually living out of our overdrafts.
Need some money quick? Check out the short term loans at SwiftMoney if you need help getting through until pay day. Below is their awesome infographic that will show you more interesting facts about spending throughout the generations: