Check Out These 5 Money Moves Gen Z-ers Are Making: What Can We Learn From Them?
Growing up in a world where technology is at its peak and is constantly evolving has helped Gen Z outsmart its elders. For a long time, Gen Z, or the “zoomers,” kept their elderly relatives entertained with fictitious Facebook accounts while they and their friends played in the digital mazes of Snapchat and the like. When their elderly relatives learned about “snapping” and the rapidly updating social media, the Zoomers had already transitioned to TikTok.
Gen Z has taken the world by storm, and they are a force to be reckoned with. They are breaking all the stereotypes, be it gender equality, gender fluidity, personal style, ambitions, or personal finance. They are all about accepting and boosting new norms that help shape the future.
Nevertheless, the question that arises is, what about the latest financial technologies and money? Is it possible that they are secretly mastering the financial world as we speak? Is it possible that they might earn and gather enough money to retire earlier than the previous generation had?
Let’s see a few money moves they make that may not be bad.
1. They are sharper and more confident in early investments
While previous generations may have decided to wait until they were prepared to invest their money, Gen Z-ers have stepped into the trend of inventing early. Early investment is a big part of Gen Z’s philosophy. Many of these young investors began their investment careers in their teens or even before they hit their 20s. Gan Z started investing at a young age due to the growth of investing apps with minimal fees and the abundance of information on the internet. This has helped them get a head start on planning for their finances. Future generations may pick up these money habits and begin investing shortly.
2. They take a lot of risks
The Gen X-ers focused on building retirement funds and saving as much as possible. The millennials were the ones who changed the flow by dipping their toes into the investment pool. They still believe in playing it safe and taking calculated risks. As the change progresses, Gen Z is more open to taking risks. A little more than half of the Gen Z population plans to make money by investing for about two to five years, while another fraction believes in becoming rich.
They are more open to digital monetization through YouTube, TikTok, Instagram, and other social media platforms. They are even experimenting with stocks, cryptocurrencies, non-fungible tokens, etc., even if they don’t have all the necessary knowledge. They are learning by the method of trial and error.
3. They invest in themselves
Gen Z didn’t stop learning new things. They actively participated and gathered information that helped them grow, which made them more money. There are several millionaires and billionaires in the Gen Z population. They secured their status by showcasing their skills and developing businesses online.
It was and still is all about displaying one’s skill in the most effective way possible. They turned their hobbies and talents into something commercial. This generation is not afraid to put themselves out there, and they do it confidently. Gen Z-ers have taken over all the social media platforms to showcase their talent, helping them earn money from every like and click they get.
4. They are always looking for the best deals
It’s not surprising that Gen Z prefers to go for the best deals instead of the good deals. Gen Z was born with technology at their fingertips, so they are entirely at ease with it. They know that it’s best to research and look for the best deals they can find before taking the next step. They are not good shoppers; they are savvy shoppers. They look for places to quickly help them save money on relatively expensive items. They compare items, prices, specifications, usefulness, and quality before purchasing them. This way, they save money while getting the things they want at a lower price.
5. They spend according to their core principles
Gen Z-ers were shaped by what was happening in the world when they were young. Many Gen Z-ers know how important it is to support businesses that share their values. They contribute to social justice organizations and charitable causes because they appeal to them personally as they resonate with their values. Gen Z-ers are focused on making the world a better place than earning a living and settling their roots.
To sum it up
There isn’t a simple manual when it comes to managing money. Gen Z-ers have taken in the experiences of millennials, and Gen X-ers then used all of that information to their advantage. They don’t just make money but use it to its utmost potential. They do their research before taking any step, even if it is a risk. Gen Z has turned money-making into something fun and not something that feels like a chore or task everyone must do every day. They are in tune with finances and the reality of it all. They understand what it would be like to fall into debt because of all the experience they have gained by observing their elders.
So, even if they get into debt, they will be able to get rid of debt quickly, given they do it as smartly as they do everything else. Ultimately, we can learn that it’s not just about making money; it’s about how we use that money to help us and others around us.