Inflation Shock Spurs Gen Z to Rethink Spending and Travel
Inflation is prompting Gen Z to slash discretionary spending and seek financial advice, as over 75% of Americans tighten their budgets amid rising costs.
Published on April 13, 2025
Rising inflation is forcing Gen Z to reconsider their budget priorities, with many cutting back on discretionary spending like travel and dining out. A Wells Fargo study found that over 75% of Americans are reducing non-essential expenditures, and many young consumers are turning to professional financial advice to manage the pinch on their wallets.
Recent supplemental research supports these findings. A Bank of America survey from October 2023 revealed that 73% of Gen Z have adjusted their lifestyles by cooking at home and limiting spending on non-essentials. Similarly, a Reuters report from July 2024 indicates that many in this group are relying on parental support while simultaneously practicing stringent budgeting in response to rising costs.