A recent Bank of America survey highlighted Gen Z's struggles. Blaming the cost of living, 52% of respondents said they don't make enough money to live the life they want.
The Gen X debt situation
The cohort also has the largest share of people with debt, nearly 99% carry some type of balance, LendingTree found. Gen Xers led the way in three of the four categories analyzed. The group — between 44 and 59 years old — has the highest median credit card, auto loan and student loan balances.
Gen Z has an average student loan debt balance 39.3% lower than the nationwide average. The average student borrower owes $14,849 more than the average Gen Z borrower. 8.2% of student loan debt belonged to Gen Z in 2022. 18.9% of all Gen Z had student loan debt in 2021.
Gen Z Has an Overall Higher Income Than Their Millennial and Baby Boomer Counterparts. Despite economic challenges and unconventional ways of working, Gen Zers are earning more money than older generations.
Gen Z Is the unhappiest generation in America: Report. Jessica Burbank and Amber Duke react to new findings in the world happiness report that a great percentage of the Gen Z population is unhappy.
According to credit agency TransUnion, Gen Z consumers between the ages of 22 and 24 have higher debt levels and delinquency rates for a number of credit products — from credit cards to mortgages and student loans — than millennials did at the same age during the Great Recession.
The report found that 23% of that age group have no plans to have children, and nearly a third (31%) of Millennials and Gen Z who don't plan to become a parent say it's because of the social and political world their children would potentially inherit.
Out of the multiple countries we examined, the United Kingdom and the United States hold the record for the highest average student loan debt. In England, students graduate with an average student loan debt of over $54,000, while in the U.S. students have an average of $28,400 at graduation.
It found that Gen Z will be the largest – and wealthiest – generation in history, and that these benefits will be more evenly dispersed around the world.
Approximately three-quarters of Black- and White-headed families have debt, but the median debt-to-asset ratio is 50% higher among Black than White families (Copeland, 2020), with Black borrowers less likely to fully repay loans (Brevoort et al., 2021).
The Standard Route is what credit companies and lenders recommend. If this is the graduate's choice, he or she will be debt free around the age of 58. It will take a total of 36 years to complete. It's a whole lot of time but it's the standard for a lot of people.
The jobless rate for 20- to 24-year-olds surged to 7.2% in January, compared to just 3.2% for workers over 25, per the latest jobs data. One in three 2023 college graduates say they don't believe they have the skills to land a full-time offer, according to a survey from the job listings site Handshake.
The political divide within Gen Z became increasingly pronounced, particularly along gender lines. American Gen Z women individuals leaned left, supporting progressive causes such as reproductive rights, climate mitigation, intersectional feminism, and gun control.
Over half (57%) of respondents do not have enough emergency savings to cover three months of expenses. Nearly one-third (30%) feel they don't make enough money to save. Only 15% of Gen Z put a set percentage of their paycheck into a savings account each month.
What birth years define Generation Alpha? While definitions vary, the term Generation Alpha typically refers to the group of individuals born between 2013 and 2025. This is the generation after Gen Z.
The American Dream failed millennials and Gen Zers—even DINKs earning over $100,000 say they can't afford kids. Finding a high barrier to entry when it comes to parenthood, many adults are just saying no to having kids.
Generation Z was born between 1997 and 2012 after the Millennial generation and before Generation Alpha. The oldest of this generation are reaching their late 20s in 2024. Many of them are out of college, getting married, and starting families. The youngest may be as young as 12.
In addition to soaring food and housing expenses, millennials and Gen Z face other financial challenges their parents did not as young adults. Not only are their wages lower than their parents' earnings when they were in their 20s and 30s, but they are also carrying larger student loan balances.
Gen X (ages 43 to 58) not only carries the most debt on average of all the generations, but is also the debt leader in credit card and total non-mortgage debt.
Gen Z Struggles With Mental Health
According to McKinsey, over half (55%) of Gen Zers report having either been diagnosed or receiving treatment for a mental health condition, compared to 31% of people aged 55 to 64, who have had decades longer to seek and get treatment.
Baby boomers have the highest net worth, averaging $1.6 million per household. Baby boomers have the highest household net worth of any US generation.
Experts address what might be the root of helping the Gen Z population deal with their mental states. You might think the elderly feel the highest level of loneliness, but research shows that's not the case. "Actually, it's Gen Z. That's the loneliest generation," said Cat Moore, the Director of Belonging at USC.
Baby boomers and people in their 50s are living longer but are in worse health than previous generations were at the same age, despite advances in medicine and greater awareness of healthy lifestyles, a global study shows.