The world of finance is constantly evolving and younger generations like Gen Z have a unique way of communicating their understanding of money. They are not only financially literate, but also creative in creating new terms that reflect their lifestyle and financial preferences. It’s no wonder that Gen Z-style financial terms have gone viral on social media.
From funny terms, subtle innuendos, to motivational jargon, Gen Z-style financial terms are now not only used for their circles but also become everyday language among young millennials. These terms emerge from the reality of their lives that have to deal with financial pressures, consumption trends, and the desire to live more wisely.
For those of you who want to relate and not be outdated when it comes to financial matters, Treasury has summarized some of the latest Gen Z financial terms in the article below. Let’s get to know them one by one!
1. The First Gen Z Finance Term is Financial Healing
Financial healing is a concept that reflects the process of emotional and psychological recovery from bad financial experiences, such as excessive debt, the trauma of poor money management, or past economic stress. This is one of the Gen Z finance terms that shows the realization that finances and mental health are interconnected.
Gen Z friends are now more open to talking about past financial wounds. They are becoming more forgiving of their financial mistakes, while rebuilding their confidence to manage their money. Financial healing also encourages behavioral changes, such as being more realistic in budgeting and setting reasonable financial goals.
2. Loud Budgeting
While budgeting is usually done in private, loud budgeting encourages transparency and openness about finances. In the context of Gen Z-style financial terms, loud budgeting means openly stating financial limits to your surroundings. For example, with loud budgeting, friends can firmly reject consumptive invitations.
Loud budgeting helps create a more honest and supportive financial culture. You don’t have to feel guilty when you have to reject invitations that interfere with your financial plans. In addition, with loud budgeting, Gen Z can form a community that supports each other to achieve their financial goals.
3. Don’t Doom Spend Often
Ever shop online because you’re stressed out by bad news? Well, that’s an example of doom spending. This Gen Z-style financial term describes consumptive behavior in response to global anxieties, such as climate, economic, or social conflict crises.
Doom spending is often an emotional escape that can have a negative impact if not controlled. Gen Z is starting to realize this pattern and try to switch to other healthier ways of relieving stress, such as journaling, meditation, or setting limits on screen time. They have also started practicing mindful spending to stay conscious every time they make a purchase.
Also Read: 9 Gold Investment Terms You Should Know – Treasury
4. Soft Saving Included in Gen Z Financial Terms
Unlike previous generations who tend to be rigid about saving, Gen Z adopts a soft saving approach, which is saving with flexibility and still enjoying life. The financial term Gen Z soft saving shows that savings do not always have to limit personal freedom.
Gen Z friends still have a goal of saving, but without excessive pressure. They allocate funds for traveling, hobbies, and spontaneous needs without guilt. They can still build financial security without losing their life balance with strategies like sinking funds or small auto-debits,
5. Girl Math is Mathing
Girl math is a satirical term used by Gen Z, especially among women, to justify impulsive spending with unique logic. For example, if you spend with cashback, it’s free. Although it may seem funny, it is a Gen Z-style financial term that describes the dilemma between consumption and money management.
Although girl math is often not in line with conventional financial principles, this phenomenon shows how Gen Z understands and reflects their financial behavior in a more understandable and non-patronizing way. However, many buddies also use this phenomenon as a starting point to learn more logical budgeting.
6. No Buy Challenge Becomes a Trend Among Gen Z
The no buy challenge trend emerged as a form of resistance to consumptive culture. This challenge invites you not to buy things that you don’t really need for a certain period of time, such as a month or even a year.
This trend is part of Gen Z’s financial lingo that emphasizes self-control and conscious consumption. Through this challenge, Gen Z learns to better recognize between needs and wants, and build healthy financial habits.
Many document their no buy journey on social media, creating a community of support and inspiration. As a result, in addition to being frugal, they become wiser and more content with what they currently have.
7. Retail Investing is the Last Gen Z Financial Term You Should Know
In the past, the world of investment was synonymous with the rich and large institutions. Now, with the advancement of technology and digital platforms, retail investing has become a major trend among Gen Z. In Gen Z’s glossary of financial terms, retail investing means the activity of investing directly by individuals in stocks, mutual funds, crypto, or other instruments.
Retail investing paves the way for buddies to build wealth early on. But Gen Z is also starting to understand the importance of education before jumping into the market. They utilize social media, investment communities and educational apps to make informed decisions. This reflects a major shift in the democratization of finance in the digital age.
One platform that supports this trend is Treasury. Treasury is a digital gold investment application that allows you to buy and sell gold anywhere and anytime starting from the smallest amount of Rp5,000. This will certainly make it easier for friends who are just starting their investment.
In addition, Treasury also provides learning media for friends who are still unfamiliar with the world of investment. Every day Treasury provides educational content about finance, investment, and lifestyle that can help you achieve financial well-being in the future.
These seven Gen Z finance terms aren’t just trends, they’re a reflection of the way the younger generation understands, manages and forms relationships with money. From financial healing to retail investing, they all indicate a shift towards more conscious, flexible and connected finances.
You don’t have to follow all of these terms, but understanding their meanings can be the first step to improving your financial habits. The more you understand Gen Z’s financial lingo, the easier it will be to navigate the ever-changing world of finance.
So, don’t hesitate to be adaptive to the latest financial trends, because who knows from these terms you can find the most suitable financial management style. So, are you ready to upgrade your money management style? Let’s do it together with Treasury!
