Millennials and Generation Z don’t see the point of saving for the future: The New York Times

  • The New York Times reports that millennials and Generation Zers are not saving for the future.
  • Instead, they’re spending now – from dinners out to new apartments to hobbies.
  • Both generations dealt with economic instability, staring at the existential threat of the climate crisis.

Between recessions, a once-in-a-lifetime pandemic, the climate crisis, and yet another new war, America’s younger adults have already suffered a lot of shocks — and a lot of economic turmoil.

Because people across the country have their own great achievements In terms of work, younger workers seem to have decided there is not much merit in saving for an uncertain future. Instead, like Anna b Reports for the New York TimesMillennials and Generation Zers — who range in age from roughly 26 to 41 — spend money on things that give meaning to their lives.

In fact, a Fidelity retirement planning survey of 2,600 adults found that 45% of the “next generation” – Known Between the ages of 18 and 35 – “You don’t see the point in saving until things are back to normal.”

bleak economic outlook

For some Generation Zers, “normal” may be a feeling of vibe rather than something they’ve experienced. Only one subset of the generation test What was higher education and work life like in the pre-pandemic world.

Millennials were already staring at a bleak economic picture before the pandemic. in 2019, They were dealing With ever-high student debt, low purchasing power, high housing, and high healthcare and childcare costs. While their ranks were high, their savings were low – Much less than Boomers.

Then came 2020. General Z Most affected by the epidemic, with disruptions to school, life, jobs and dating. Unemployment was high, mental health was deteriorating. For millennials, it was something else


Recession

The road stopped in the middle 20 years of continuous economic strikes.

As a result, the young workers Campampati spoke to said they gave up wise savings to experience the meaning of life. For some, it was more spent on dinners with friends or music festivals, or on hobbies that evoke joy. Others decided to abandon their old, hyper-cautious lives by moving on. If home ownership isn’t an option – then what is it It was increasingly not so For at least a quarter of millennials – at least they can use their savings for Rentals in the city of dreams.

While Job recovery was strong Wounded millennials can take comfort in the fact that the United States is recovering much faster than it was from the Great Recession — and that does not eliminate the myriad other problems facing younger workers.

Prices in general are still Hovering near 41-year highs. pandemic Rental deals expire. While wages are on the rise, Generation Z is Leading the big changeRaise many will Inflation is still eating him up.

and climate crisis

Then there is the existential position of generations.

UN report Found That the world can still change the climate in the next 10 years – but it will require a huge amount of political action and financing. Without this action, rising temperatures could put 3.6 billion people at risk, According to the United NationsCities were flooded, water was scarce, and hunger increased.

This is something that has been at the top of the agenda for both millennials and Generation Z. A third of people between the ages of 18 and 29 Polled by Insider in 2019 “Climate change should be a factor in a couple’s decision about having children,” she said. Meanwhile, with boomers worried that inflation was eating into how much they saved, General Zerz was so Concerned about climate change.

“If you had an apocalyptic vision of the future, why would you save for it?” Financial psychologist Brad Klontz told the New York Times. “Of course you won’t.”

Given all this, Neymarta Narang told the New York Times that finally arriving at her Bangkok home showed her how much she missed her. She didn’t want to miss it anymore—and she moved from Los Angeles to New York City, something she’d always wanted.

“I wanted to use my savings to get life experience,” Narang told The Times. “My visit home made me see how much life I miss.”

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