Cheyenne Suarez

Seven money lessons Gen Z can learn from boomers about saving

Article (news)

Aneth Ng-Lim

<div><br/></div><p>Turns out not only do Mothers know best, but Grandparents too.  These days, social media is full of money advice from Gen Z on how they are building their savings, that they said…wait for it…they learned at their grandparents’ knees.</p><p>For Gen Z, saving money can feel like trying to hit a moving target. Between rising costs, the pressure to enjoy life now, and a digital world built for instant gratification, it’s easy to see why traditional saving advice sometimes falls flat.</p><p>But here’s the thing: while Boomers grew up in a completely different economic landscape, many of their money habits are surprisingly timeless. If we take away the outdated context, we’ll be left with practical, adaptable principles that still work to this day.</p><p>Here are 7 saving lessons Gen Z are borrowing from Boomers. </p><div><strong>#1 Before Everything Else, Pay Yourself First</strong></div><p>Instead of saving “what’s left,” flip the equation: save first, and spend what remains.  </p><p>Back in the day, boomers did not have automated savings.  Instead, they followed a simple rule: they pay themselves first by setting aside money the moment they get paid. The most popular formula for dividing up their income was 50-30-20, where 50 percent went for needs, 30 percent for wants and 20 percent for savings. </p><p>These days, Gen Z can have it easier when they sign up for scheduled transfers into their savings account around the time they get their salary (so just do it). </p><div><strong>#2 Live Below – Not Just Within – Your Means</strong></div><p>Living within your means is good. Living “below” your means is where real savings happen.</p><p>Boomers often practiced this by resisting lifestyle inflation.  Just because they earned more didn’t mean they spent more. For Gen Z, this might mean resisting the urge to upgrade every gadget, jump on every trend, or match the spending habits seen on social media.</p><p>You don’t have to deprive yourself. But consistently spending slightly less than you earn creates breathing room, and that’s where savings can grow.</p><div><strong>#3 Control Money that Goes Out</strong></div><p>After you pay yourself (by saving), work with what’s left to make sure it will cover your needs and wants.  </p><p>Our grandparents relied on the money envelope method – having between 5 and 10 envelopes and labelling them according to their expenses.  That included rent, utilities, groceries, as well as their rewards like gym or salon visits, and depending on the expense, they took out money from the right envelope.</p><p>Somehow, it’s more painful when you have to part with cash to pay for something, versus just tapping your credit card or signing up for a Buy Now, Pay Later offer.  By keeping an eye on how much money leaves your wallet or envelopes, you can curb your spending as you grow your savings.</p><div><strong>#4 Put Needs before Wants (Yes, it’s Hard)</strong></div><p>Let’s give it to the Boomers – they were often more disciplined about distinguishing between necessities and luxuries.  </p><p>For Gen Z, this line is blurrier. Is a streaming subscription a want or a need? What about a new phone when your current one still works?</p><p>The goal isn’t to eliminate wants, but to be intentional about them. Ask yourself: Do I really need this right now, or do I just want it in this moment? When you take time to think about a purchase, even for a few minutes, it can prevent impulse spending and redirect your money into savings.</p><div><strong>#5 Your Emergency Fund is Non-Negotiable</strong></div><p>One of the strongest habits Boomers had was preparing for the unexpected. To them, medical bills, job loss, or sudden repairs weren’t “if” scenarios but “when.”</p><p>If we compare, Gen Z actually faces even more uncertainty today, from gig work instability to economic shifts. That makes an emergency fund even more critical.</p><p>Start small if needed. Even one month’s worth of expenses is a strong beginning. Make your emergency saving not so accessible so you are not tempted to use it for something else.</p><div><strong>#6 Avoid Bad Debt</strong></div><p>One more thing Boomers got right: they were generally cautious about debt, especially for non-essential purchases. Unlike consumers today who are comfortable with swiping left and right with their cards, for them credit was used deliberately, not casually.</p><p>With debt more accessible than ever, Gen Z needs to be careful with saying yes to credit card offers and easy installment plans, and make sure they do not cross the line between affordability and overspending.</p><p>A useful rule of thumb: if it doesn’t help you earn, or it does not grow or appreciate in value, think twice before going into debt for it.</p><p>Not all debt is bad. But impulsive debt can quietly eat away at your ability to save.</p><div><strong>#7 Growing Wealth Takes Time</strong></div><p>Boomers understood something that can feel frustrating today: financial growth is slow.</p><p>Saving and building wealth often took decades, not months. There were no overnight wins or viral side hustles. If it’s too good to be true, it likely is, so do not fall for scams.</p><p>Gen Z lives in a fast-paced world where everything is instant, but money doesn’t follow the same rules.</p><p>When it comes to building wealth, consistency beats intensity. Saving a manageable amount regularly, even if it feels small, compounds over time. </p><p>Focus on both the Present and the Future</p><p>One of the biggest mindset differences between the two generations comes down to priorities.</p><p>Boomers placed a higher value on stability, keeping an eye on the now and later: owning a home, having savings, and being prepared for the future. Meanwhile, Gen Z navigates a world where visibility is constant. Social media can amplify the pressure to “look successful” even when finances say otherwise.</p><p>Saving may not be as visible as spending, but it gives you something far more valuable: options, freedom, and peace of mind.</p>

<p>While Boomers grew up in a completely different economic landscape, many of their money habits are surprisingly timeless.</p>

While Boomers grew up in a completely different economic landscape, many of their money habits are surprisingly timeless.