What do millennials spend money on? Quality, beauty and time.
- Experts say millennials face an uphill financial battle.
- But wealthy millennials say they are in the age of spending.
- They spend their money to buy quality, time or beauty.
Not all millennials are tight-lipped. Some of us are in our age of pride.
Headlines of doom and gloom About millennial wealth in the United States does not paint the full picture. Despite student loan debt and high interest rates, 51.5% of millennials now own a homeAnd, if my group texts are any indication, people in this generation are eager to experience the finer things in life.
In other words, wealthy millennials – or WOMs – are out there and spending.
As we grow older, Get higher paying jobsAnd some of us Consider giving up the childrenIt’s no surprise that our tastes have changed and evolved, sometimes in unexpected ways compared to previous generations.
Successful millennials in the United States appear to be willing to spend money on things that generally fall into three categories: quality, beauty, or things that save them time.
When I asked friends and colleagues overwhelmingly what they spend money on, they talked about investing in high-quality items, especially when it comes to comfort.
They no longer buy cheap winter boots when the expensive version protects them from the cold. Homes that were once decorated with IKEA furniture are now decorated with brands built to last. Shirts that fall apart within a few wash cycles are replaced with tailored shirts that make them look and feel good.
“Every man in his 20s reaches a point where he needs to rent a wood chipper for all the American Eagle jerseys he’s worn over the past decade,” one of my male colleagues told me.
Julia Mills is a 30-year-old millennial English and middle school teacher based in Canada who posts about fashion on TikTok, where she has over 660,000 followers. Mills’ videos often focus on ways millennials can update their wardrobes. She said she leans toward upgrading to quality products that will last for years, like a good coat or new jeans.
“It’s definitely a slow process, you can’t overhaul your wardrobe overnight,” Mills said, adding that it’s nice to have those luxury pieces if they fit your lifestyle and budget.
Aside from fashion, wealthy millennials are also spending on smaller luxuries, like luxury bedding, upgraded flights on vacations, and nicer hotels — or something as small as… More amazing soap.
At the same time, millennials in the United States are aware of the climate impact of their purchases, something that was not necessarily top of mind for previous generations. People I’ve spoken to say they buy high-quality products — whether new or used — with the goal of making those items last longer to produce less waste.
Julie Souza — a millennial who posts about interior design and DIY hacks to her 2 million followers on TikTok — said social media has educated consumers about concepts like sustainability. Souza said many of the comments she receives on Instagram and TikTok come from people asking how to avoid waste and plastics.
“The more we learn about what we put in our homes, the smarter consumers we will become,” Souza said.
The youngest millennials were born in 1996, so they are only a few years away from reaching their 30s.
Those of us who are already there worry about what time and gravity do to our bodies.
The millennials I spoke to said they spend money on dermatology consultations and prescriptions, fillers, Botox, eyelash extensions, and microneedling.
“A lot of people do goofy things to their faces,” a friend in Wisconsin told me.
I fall into this camp myself. I have a dermatologist that I swear by and a skincare regimen that includes prescription products that you can’t find in the Sephora aisles. Like many of my peers, I’m not afraid to one day go under the needle and get Botox, thanks in large part to celebrities and influencers becoming more open about their own procedures and with the rapid advancement of technology and techniques.
Dr. Lisa Ships, a dermatologist in California, said her patients are more likely to invest in high-quality products and procedures like preventive Botox, laser therapy, and lip fillers.
“Twenty years ago, what happened in a dermatologist’s or plastic surgeon’s office was kind of a mystery,” she told Insider. “Now people are more aware of their options, partly due to social media.”
For many millennials, undergoing these types of anti-aging procedures is the norm, thanks in part to the new work-from-home culture.
“The remote workforce now has the ability to perform surgery, continue to work, but not have to commute two hours back and forth to their job,” said Dr. Gregory Greco, a member of the American Society of Plastic Surgeons. He added that this age group does not necessarily feel embarrassed about undergoing surgery, but they use working from home as an opportunity to heal in greater privacy.
Most consumers of beauty products are still women, but men are getting in on the action now too. Both doctors said they’ve seen a rise in the number of millennial male patients coming in for consultations about getting Botox or fillers.
However, doctors stressed that although these types of interventions may be all over social media, they are still medical procedures and should be taken seriously.
“Although there is convenience, there are risks associated with it,” Greco warned. “Make sure you choose a competent practitioner and that you do your homework.”
The older you get, the less time you have.
Children, work, elderly parents, and other household responsibilities loom. The average millennial is now entering into “Sandwich generation“age and are willing to spend lavishly to have more time for themselves.
Colleagues and friends said they spend money on house cleaners, babysitters, elder care workers, dog walkers and smart home features.
Thumbtack, a website where consumers can find professionals to hire for various tasks, said it has seen year-over-year increases in demand for house cleaning services (up 11%), lawn mowing (up 15%), and furniture assembly (up 31%). %). and horticulture (up 32%).
Many millennials feel less shy about hiring help than previous generations, in part because they know the value of their time, said David Stickel, a home expert at Thumbtack.
“It’s more cost-effective to have someone do it for you,” he told Insider. “There’s a whole ‘do it for me’ movement happening right now.”
If they are not spending money on products or services, these Millennials are investing with an eye toward early retirement and financial freedom later in life. While this may go against conventional wisdom, millennial retirement actually looks like it’s happening Somewhat rosy.
“Millennials are more willing to take risks when it comes to actually investing their money, whereas the mindset of other generations has been, ‘Let me hide my money under my mattress to save it,’” said Tiana Pattillo, director of financial advisor at Vanguard. , He said.
She said companies are making more efforts to incentivize workers through 401(k) and matching programs, and she said social media has become a great equalizer when it comes to financial education, putting information about investing and growing wealth just a few clicks away.
“We were groomed in the world of technology,” said Pattillo, a millennial. “There is so much more information at our disposal, instead of going to the library and researching like our parents used to do.”
So, yes, the housing market looks bad, student loan debt is a real problem, and inflation is rising, but don’t pity all American millennials — despite these obstacles, many are finding ways to live a good life.
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