Gen Z is embracing cash, despite digital money being the primary way of spending, saving and investing in 21st century life.
A 2023 study by HarrisPoll on behalf of CreditKarma found that 69 percent of Gen Zers in the U.S. and U.K. were using cash more than they did in 2022. Nearly a quarter, 23 percent, of those in the age bracket are using cash for the majority of their purchases.
The research checks out with the emergence of keeping large amounts of cash at home rather than keeping it in a bank account, current or savings, a trend that can be seen on social media. Using cash instead of a card or paying via online transactions has become increasingly popular on TikTok, with a myriad of accounts advising watchers on how to successfully do what is known as “cash stuffing.”
The budgeting hack involves withdrawing cash from your bank, often in large amounts, such as an entire monthly paycheck, and sorting it into envelopes or another system to keep at home. This way, budgeters can create “buckets” of money for certain expenditures, such as eating out, clothes, saving for a holiday, or anything they want to put their cash toward.
“The idea is that, once the money is gone from that envelope, you can no longer spend money on that bucket,” Rod Griffin, senior director of consumer education and advocacy for Experian, told Newsweek.
Read more at Newsweek.com
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