Gen Z can’t pay the bills as recession strikes
The Future. For Gen Z, the recession is making life unaffordable. Only a quarter can pay their monthly expenses, especially as rents stay high and inflation stays persistent. If the cost of living continues to drop from record highs, it may not matter how many jobs or side hustles young people have — financial comfort will still be out of reach.
Fast Company breaks down some recent surveys showing Gen Z’s economic struggles.
- Financial services company DailyPay reports that 72% of Gen Zers can’t pay their bills on time because of the new economic pressures.
- That same survey found that 54% had to move in with their parents to “better ride out the current economy.”
- Bank of America found that 73% are having difficulty saving, especially as rent payments are up 16% year-over-year (it’s only 3% for Boomers).
- And according to Redfin, the generation’s “personal inflation rate” hovers above 11%, while it’s about 8.5% for Americans overall.
- Also, CNBC found that 21% have closed their investment or brokerage accounts, no longer having spare income to invest.
It feels like just yesterday, everyone had enough money to YOLO invest in Robinhood. Oh, how times have changed.