Millennials and Gen Z: Splurging on Groceries

[Corraleno]

1 hour ago, SanDiegoMom said:

Its hard to think it's generational though.  Just looking at my kids and me versus my sister, it really seems like spending habits (while they should be taught obviously) are also ingrained. My sister is naturally frugal, I am not so much. My oldest daughter is spendthrift and impulsive shopper.  My younger daughter is a typical teen who likes to spend money on Boba or lunches out occasionally, but keeps track and stops spending if she is worried about her money. My son never spends anything - he will only get a treat like a frappachino if someone has given him a gift card. 🤷‍♀️  They were all raised the same.  Actually my spendthrift daughter is six years older and experienced more of our frugality and careful budgeting when we were younger - the twins have experienced us being older and able to indulge in more things. 

This. I have one kid who is quite frugal, to the extent that it's really hard to buy him Christmas and birthday presents because he wants so little, while my other kid spends every penny she earns on clothes, make-up, and fast food. They grew up with one frugal Boomer parent (me) and one spendthrift parent (my ex). And one of the reasons I grew up dirt poor is because my Silent Generation dad was terrible with money and would spend what little we had on stupid stuff while his kids went hungry. There are frugal people and spendthrifts in every generation.

I also think many young working adults don't see the point of trying to save for a house because it's just totally out of reach here, where a 2 BR fixer-upper is $500K — and that's if you can find it before the flippers and investors snap it up. Why scrimp and save and do without for decades, only to find that prices have outpaced your savings anyway? 

Another current media trope is that kids today are so spoiled to want to have their own apartment, they should be sharing a house with lots of roommates to save money. DD's boyfriend shares a 3 BR house with 4 other people, while working full time plus taking online classes (which he pays for himself). Each person is allocated one kitchen cabinet, one shelf in the fridge, and a tiny space in the freezer, which makes it really difficult to plan and prepare meals at home (not to mention the issue of multiple people trying to use a very small kitchen at the same time). So of course they tend to get takeout more often — but then that's seen as being spoiled and spendthrift.

I guess Gen Zers should all be living in shared rental houses and eating from communal pots of rice and beans while saving every penny they earn until they're 40. But then the headlines would be about all the industries "Gen Z killed" by selfishly refusing to support the economy.

Edited April 8 by Corraleno

[frogger]

10 hours ago, prairiewindmomma said:

I’ve never understood why avocado toast got such a bad rap. There are times of the year when avocados are 3/$1–and an avocado smashed on a piece of bread = breakfast for under $.50. Even at $1/avocado, it’s a healthy breakfast. 

You just incited my jealousy! Avacadoes are $3 a piece when yhey do those 2 for $6 sales here. I know it is expected and I choose to live here but oh how heavenly to have cheap avacados. Lol 

[prairiewindmomma]

15 minutes ago, frogger said:

You just incited my jealousy! Avacadoes are $3 a piece when yhey do those 2 for $6 sales here. I know it is expected and I choose to live here but oh how heavenly to have cheap avacados. Lol 

I am seriously blessed to live where I am right now.

I very much remember winters where the only fresh fruit in the grocery store were bananas, granny smith apples, red delicious apples, and oranges.   Winter veg were potatoes, onions, carrots, cabbage and beets. Everything else was canned or frozen. I'm so glad to live in a better world.

[Heartstrings]

2 hours ago, SanDiegoMom said:

Its hard to think it's generational though.

I agree.  There are tons of articles about the boomers not saving enough for retirement and living on social security alone.  It’s hardly as if all boomers and Gen x were wonderful with money and all millennials and Gen z are terrible.  It’s also very unlikely that not one single Boomer or Gen Xer ever overspent or splurged.  It’s not like the soda and junk food industry just popped up in 2015.  McDonald’s was thriving before I, as a millenial, could drive. Someone was buying fast food and soda in the 80s and 90s and it wasn’t the Gen Zers who wouldn’t even be born for another 20 years.    
 

Boomers and Gen X “splurged” on things that millennials and Gen Z don’t value.  Wedding China, knick knacks, guest towels, guest dishes for when a dinner was too good for every day dishes but not good enough for wedding china, special Christmas dishes.  All of those industries the millennials “killed”.  

 

Edited April 8 by Heartstrings

[Faith-manor]

18 hours ago, TheReader said:

Seems like it's also about the fact that with grocery prices surging, Millenials and Gen Zers are realizing (like the rest of us) that it makes more sense to spend more on fun items at the grocery store vs going out to eat, etc. and splurging that way. 

Not that the basics are now a splurge, but that the economy is such that our "treats" are now things like the fancy waters, sodas, Trader Joes' snacks, etc. that are "splurge items" and that indulging in those is all one can afford in the current economy, vs. the more typical splurges of dinners out, vacations, etc. 

In other words, sounds like our Millenial and Gen Z babies are growing up. 

This. Our adults kids keep a few bottles of nice beer, a bottle of wine, and selzer waters on hand because they never go to restaurants or pubs anymore. A splurge is a crappy Litrle Caesars Pizza because they are too tired to cook.

[prairiewindmomma]

2 minutes ago, Faith-manor said:

This. Our adults kids keep a few bottles of nice beer, a bottle of wine, and selzer waters on hand because they never go to restaurants or pubs anymore. A splurge is a crappy Litrle Caesars Pizza because they are too tired to cook.

This.  My great-grandparents talked of card parties with different couples all taking turns hosting or popping popcorn and listening to the wireless with friends.  Today's version is popping popcorn before watching Netflix with friends or cracking a bottle with friends before you play board games or hang out over discord. 

The "kids these days" that I live with and see in my kids' friend circles don't regularly go to the movie theaters or go shopping at the mall or eat out in restaurants. They are too broke and too busy with school or work, and are exhausted when they finally have down time.

[Ausmumof3]

7 hours ago, Heartstrings said:

I don’t understand the idea that young people should eat crap for a few decades until they can afford better.  How many health problems are caused by that mentality, not to mention mental health issues.  Do we really think it’s healthy long term to spend a decade on ramen noodles?    Health and longevity are long term things.   “Eat like crap for a couple of decades” sounds like marketing for Big Pharma.  “Eat ramen now, we can fix you later with our over priced pills and barely effective treatments.”   
 

None of us would want to feed our kids like that and a lot of us here judge the ones that do. We carefully curate healthy food and veggies for their first 20 but want them eat absolute garbage for the next 20?  Is that really what we had in mind when stressing about getting vegetables into out toddlers way back when we were the young moms?  

Yep and the issue so not doing it for a couple of years while being a student to work toward something better. It’s that this generation we’re talking about are way past the student stage… they’re getting to the stage of life where things are supposed to maybe get a little easier financially. 

[KungFuPanda]

18 hours ago, Brittany1116 said:

I recently saw a clip where a mid 20s mom of a toddler spent nearly $500 at a bulk/club store to stock up on "drinks for the month". Water, juice, soda etc. There were years we were married with kids and didn't spend $500 a month on actual groceries. And my kids are not even in high school yet so I don't mean the 80s. 

We do buy some fun items, higher quality items, fair trade, organic, fill in the blank items. But we have also cut soda from the budget, and I know how to go scorched earth if necessary. 

 

Even with a six figure salary I am emotionally incapable of spending that much on drinks in one month. I’m not sure it’s even possible to drink that much unless you NEVER have a glass of water. Even if we splurge with the drinks it would be hard to spend over $150 for a whole month. 

[Faith-manor]

4 hours ago, Heartstrings said:

I agree.  There are tons of articles about the boomers not saving enough for retirement and living on social security alone.  It’s hardly as if all boomers and Gen x were wonderful with money and all millennials and Gen z are terrible.  It’s also very unlikely that not one single Boomer or Gen Xer ever overspent or splurged.  It’s not like the soda and junk food industry just popped up in 2015.  McDonald’s was thriving before I, as a millenial, could drive. Someone was buying fast food and soda in the 80s and 90s and it wasn’t the Gen Zers who wouldn’t even be born for another 20 years.    
 

Boomers and Gen X “splurged” on things that millennials and Gen Z don’t value.  Wedding China, knick knacks, guest towels, guest dishes for when a dinner was too good for every day dishes but not good enough for wedding china, special Christmas dishes.  All of those industries the millennials “killed”.  

 

100%. 

My parents had the good dishes, the everyday dishes, the extra special once a year dishes. There were the tablecloths for each occasion and when money was flush they ate out with friends a lot while all the kids stayed home with the older teens and had pizzas which were ordered.

We didn't that. I had one set of plain white dishes for everything and no tablecloths unless I thrift store found them or sewed them myself. But our kids went to Space Camp and had good quality music instruments.

Our adult kids are frugal in so many area of life so that they fan save for experiences. Dd and hubby save to take their kids on field trips, special vacations. Our sons save so they can visit National Parks, pay cash for good used cars so they don't have car payments, and are currently saving to go to Denmark together to visit the area where their great great grandma and grandpa were from.

My silent generation grandparents saved to travel frugally and for landscaping plants since gardens were a big deal to them.

My other grandparents were very poor, but it was important to them to take their children on an annual adventure so no matter how tight money was, she would save pennies here and there and sell apples from their trees each fall so that in the summer, they could take their kids camping and fishing. A large tarp cast over rope tied between two trees, stake down on sides, a tarp to lay on with bedrolls, cooking simple meals over a fire, and usually eating a lot of fish. My mom and her aunt said these were the best times of their entire childhood.

People have different priorities, and choose to enjoy and spend on different things. Diversity, the spice of life.

That said, I am fairly certain my kids view home ownership as a non option. They also figure every dime they pay into SS is a goner to the generation before them so they are all packing it away for, as my middle son puts it, "The apocalyptic dystopia world burning future that awaits us in global warming and at a time when our bodies will be failing us. Maybe we will still be able to burn dollars for fuel in the winter." So ya. They aren't feeling much hope of any pleasant future so would like to make some good memories now.

Edited April 8 by Faith-manor
Typo

[Ginevra]

18 hours ago, TechWife said:

Maybe they have figured out most restaurants, at least chains, are serving warmed up frozen food and deciding that it’s not worth the price. I think most people splurge on something occasionally, if not regularly. The protein bars, though - does Gen Z know how to cook good meals? Unless there are special nutritional needs (my son needed them for a while), that’s either a convenience item or a splurge. Either is fine, just as long as people are aware of their decision process. 

For my son, protein drinks (or bars, but usually drinks) are because he lifts weights and has specific protein goals that are higher than average. The protein drinks are a way to get to 140+ grams a day without eating three cheeseburgers. 

It has nothing to do with knowing how to cook. 

[Ausmumof3]

Expectations have changed but they’re not necessarily more… just different. My parents generation all expected to buy a quarter acre block. My generation are so happy if they get something over 500sqm. 
 

My parents generation expected to have health care that the government provided. My generation know that without private health there’s a massive waiting list and you will get sent home from hospital four hours after you have a baby. 
 

Many of the milennials I know are great savers, have worked really hard to save for small houses, have waited longer to have kids so they can afford the houses. They camp, they cook, they fix things. 
 

I definitely am not of the mindset that all boomers had it easy… my own folks had it pretty rough at times. My Mil had an awful childhood. But the reality is a lot of the poverty she grew up with was related to dysfunction and her parents spending on their wants not the kids needs.  My parents generation expected to be able to send their kids to public school and know their kids would be relatively safe there and get an education. My generation are increasingly turning to lower-cost private education - not for status or really superior outcomes but just to get the minimum standards of safety and education for their kids.
 

What sends me crazy is the assumption that if millennials or Gen Z are complaining about how hard they have it right now it’s because they’re buying lunch out every day and going to concerts etc.  no one in my social circle is doing any of that stuff except as a rare treat. Many of us have subsisted on granola bars for lunch etc etc. DH and I did years of being super-frugal to pay off our first home (early morning markets to save money, everything was cooked at home from scratch, even after working a full-time week). 
 

And I have younger kids (never sure on the generations but early 20s) with parents criticising them all the time. The young mum has gone back to work and occasionally buys take away coffee with friends. Her parents say she should stop buying take away coffee and stay home with her baby. Only problem is the coffee she has once or twice a month is never going to cover their mortgage. And they’re not even urban they’re in a cheaper small town area. There just doesn’t seem to be that comprehension from the older generation that no amount of saving is going to make it possible to buy a basic house on one income now.

[Ginevra]

3 hours ago, Heartstrings said:

I agree.  There are tons of articles about the boomers not saving enough for retirement and living on social security alone.  It’s hardly as if all boomers and Gen x were wonderful with money and all millennials and Gen z are terrible.  It’s also very unlikely that not one single Boomer or Gen Xer ever overspent or splurged.  It’s not like the soda and junk food industry just popped up in 2015.  McDonald’s was thriving before I, as a millenial, could drive. Someone was buying fast food and soda in the 80s and 90s and it wasn’t the Gen Zers who wouldn’t even be born for another 20 years.    
 

Boomers and Gen X “splurged” on things that millennials and Gen Z don’t value.  Wedding China, knick knacks, guest towels, guest dishes for when a dinner was too good for every day dishes but not good enough for wedding china, special Christmas dishes.  All of those industries the millennials “killed”.  

 

Amen. In addition to genuine gemstones (maybe even jewelry in general), and physical collections of things younger people only have digitally, including movies/shows, music and photograph albums. 

[Heartstrings]

1 minute ago, Ginevra said:

Amen. In addition to genuine gemstones (maybe even jewelry in general), and physical collections of things younger people only have digitally, including movies/shows, music and photograph albums. 

I forgot about the jewelry.  It was fairly common for even regular people to have a few nicer jewelry pieces.  My mom had a few $700-$1000 pieces.  I have my wedding set and everything else is cheap stuff.  The early 20s people I know are much more likely to be talking about lab grown diamonds and other things too, or getting matching ring tattoos or something.  

[Faith-manor]

Dd said she got a "how to make your money work for you and build wealth" email one time from a rich, bank CEO which said everyone should stop buying 5 dollar coffee. She couldn't remember the last time she bought a coffee. Of course if one does it even once per week, $20 a month for 12 months is not exactly the bundle of money that will allow her to buy stocks and get rich. She was yelling at the screen, "Hey you entitled putz! Pay your damn emoyees enough money that they have some hope of being able to retire as a middle class citizen one day instead of facing the choice between affording their prescriptions or paying their electric bill!!" The entitled monied folk really need to get their heads out of their butts.

[Ausmumof3]

22 minutes ago, KungFuPanda said:

Even with a six figure salary I am emotionally incapable of spending that much on drinks in one month. I’m not sure it’s even possible to drink that much unless you NEVER have a glass of water. Even if we splurge with the drinks it would be hard to spend over $150 for a whole month. 

Maybe the water quality is really bad where they are and they don’t have a filter? Or they’re going camping? That’s a lot of plastic waste!

[Ginevra]

13 minutes ago, Heartstrings said:

I forgot about the jewelry.  It was fairly common for even regular people to have a few nicer jewelry pieces.  My mom had a few $700-$1000 pieces.  I have my wedding set and everything else is cheap stuff.  The early 20s people I know are much more likely to be talking about lab grown diamonds and other things too, or getting matching ring tattoos or something.  

QFT

When we got homeowner’s insurance, adding a rider for jewelry was standard practice.

My daughter’s wedding rings are beautiful, lab-made “diamonds”. I forget the name…starts with an “m”. I bet someone knows what I mean. 

[Heartstrings]

8 minutes ago, Ginevra said:

QFT

When we got homeowner’s insurance, adding a rider for jewelry was standard practice.

My daughter’s wedding rings are beautiful, lab-made “diamonds”. I forget the name…starts with an “m”. I bet someone knows what I mean. 

Moissanite I think.  

[Ginevra]

Just now, Heartstrings said:

Moissanite I think.  

That’s it! 

[Heartstrings]

Just now, Ginevra said:

That’s it! 

They are even “prettier” than diamonds.  More sparkle. 

[TechWife]

53 minutes ago, Ginevra said:

For my son, protein drinks (or bars, but usually drinks) are because he lifts weights and has specific protein goals that are higher than average. The protein drinks are a way to get to 140+ grams a day without eating three cheeseburgers. 

It has nothing to do with knowing how to cook. 

That's why I mentioned special nutritional needs.

[frogger]

Honestly, those articles dividing by generation are written because lots of people click on them. 

[regentrude]

I observe that many young people they tend to have less STUFF. Minimal furniture, dishes, clothing. Books and music digital. They rather spend on one quality item than a pile of Walmart junk.

A radical departure from the overflowing garages of their elders that have so much crap the cars won't fit.

I also notice they tend to be more environmentally conscious.

Edited April 8 by regentrude

[MeaganS]

On 4/7/2024 at 8:39 PM, Heartstrings said:

If people writing articles could do a wee quick google and see that many millennials are in their 30s that would be fantastic.  Every millennial I know is already married with kids.  I’m an “elder millennial” and have adult children (I started young) and a teenager. 

 

On 4/7/2024 at 9:00 PM, Brittany1116 said:

Also, I think there are a lot of people who mean "twenty somethings" when they use the term millennial, not realizing most millennials are 30s and even early 40s. 

 

21 hours ago, Ausmumof3 said:

So true! I’m on the boundary between x and millennial and most of these generation articles feels like they are talking about my kids generation not mine when they say millennials!

 

For real. I'm a millennial with 4 kids, including some teenagers and while I was young when I started, I wasn't THAT young (in my 20s).

"Groceries ranked highest for millennials and Gen Zers, outpacing restaurants, bars, travel, beauty and personal care, apparel, and fitness." 

Fwiw, I splurge on my kids, my garden, and some basic travel. I wouldn't consider most of my groceries splurges, but I also don't feel like I splurge much on the other categories listed either, except maybe travel which i do prioritize but very frugally.

[Heartstrings]

5 minutes ago, MeaganS said:

Groceries ranked highest for millennials and Gen Zers, outpacing restaurants, bars, travel, beauty and personal care, apparel, and fitness." 

I actually feel like this shows they are overall being relatively good stewards.  They are spending more money on groceries and less on eating out and going to bars, or buying clothes, etc.   If there are splurges included they are still cheaper than restaurants.  

[Bootsie]

If you go back and look at the original study, this is not comparing what millenials and Gen Zers consider spluring, relative to what other generations considered a splurge at the same time in life.  First, over hal of the Gen Zers and the Millenials said that they planned to splurge over the next three months; 35% of Gen Xers and less 19% of baby boomers said they planned to splurge ove the next three months.

Then people were asked which categories they planned to splurge in over.  34% of the GenZers said the were likely to splurge on eating out, compared to 29% said they were likely to splurge on groceries.  40% of millenials said that the were likely to splurge in each of thos categories.  

So, you cannot conclude that these generations are splurging on groceries instead of eating out.

Also, these generations were more likely to say they were going to splurge in buying beauty products, shoes, apparel, electronics, and jewelry than other generations were (and those categories were usually higher than the groceries category)--so these generations are not reporting that they are prioritizing grocery splurging over other splurging categories.

The Business Insider piece can be misleading.