Generation Z: They barely make ends meet, yet they save

By: Trademagazin Date: 2025. 06. 18. 11:44

“They are lazy, irresponsible, and not interested in finances!” We often encounter stereotypes like this when it comes to Generation Z. However, according to Erste research, the majority of today’s 16-29 year olds are actually consciously planning their future, are open to change, and are already making money. Although they are uncertain about their financial situation, the majority believe that their situation will improve. In order to achieve their goals, they make financial plans, save money, and choose investment options more boldly than previous generations.

There are many negative prejudices against members of Generation Z: they don’t like to work, they just enjoy the world, and money flows out of their hands. However, according to the survey conducted by Erste among those affected, i.e. today’s 16-29 year olds, the majority are very aware. Their motivations, habits, expectations and preferences differ from those of previous generations: they plan for the shorter term, are more willing to take on greater risks, and are overall more open to new, alternative investment solutions.

“In a survey commissioned by Erste, 72 percent of Generation Z respondents plan for the short term (0-5 years), and 47 percent also have a medium-term (6-10 years) idea of what they would like to achieve. Although only a quarter of them plan for the long term (more than 11 years), only 1 percent claim that they have no dreams or goals to achieve at all,” said Rita Mészáros, Head of Customer Experience Management and Market Research at Erste.

The results of the survey clearly demonstrate the awareness of the age group: 49 percent of Generation Z are preparing a financial plan to achieve their dreams, and another 27 percent would be open to doing so, but do not know how to start. The majority (51 percent) already have some savings, while another 46 percent plan to start saving in the near future. Most prefer traditional, less risky investments, with 28 percent of those with investments holding their money in government securities and 18 percent in real estate.

At the same time, 16-29 year olds are more willing to take risks and are looking for alternative investment opportunities to a greater extent than older people: 16 percent hold shares, while 12 percent hold cryptocurrencies. The latter is more than double the previously measured average for the entire Hungarian population: according to the latest representative research by IMAS International, conducted for Erste Group among people over 15 years old with a bank relationship, the share of crypto within savings was only 5 percent.

“At Erste, we reward conscious planning. Now, those between the ages of 14 and 26 who open an Erste Student Account as a new customer and apply for a bank card by the end of July can receive a HUF 40,000 credit to their account if they meet the conditions. Furthermore, for those who also open a securities account and agree to set aside at least HUF 5,000 per month under the Erste Future investment program, Erste will deposit HUF 40,000 into the Erste Gold Investment Fund after opening the securities account. So, for those who open a Student Account and agree to a new monthly savings of HUF 5,000, this means a total starting amount of HUF 80,000 to turn dreams into plans and Generation Z members to start making them happen,” reported Rita Mészáros.