Empowering Generation Z: Navigating Financial Challenges andBuilding a Secure Future in a Changing World

Abstract

Generation Z, also known as Gen Z, centennials, iGeneration, post-millennials, and zoomers, would fall within the birth years ranging between the mid-1990s to early 2010s. At this transition stage, as these young adults enter into adulthood, they are bound to face new financial challenges. Gen Z is basically digital natives and, therefore, their financial behavior has been highly influenced by technology and social media. This gives way to debt, a high cost of living, and economic uncertainty in their lives. This paper exposes how social influence, consumerism, and a weak financial education led to problematic financial decisions within the Gen-Z group. Social media platforms expose Gen-Z to ideal lifestyles, as well as materialistic standards that lead to impulse financial stress. These behaviors are hindered further by the Fear of Missing Out (FOMO) and comparison culture as the generation must purchase things that it does not require to become updated or to keep itself included in the mainstream of life. Lifestyle inflation and inadequate financial literacy are also the factors creating debt stacking and financial strain. The study will look into the issues of Gen-Z, revealing the need to remove the barriers to financial empowerment for ensuring long-term financial resilience, and providing insights and practical solutions to achieve security, stability, prosperity, peace and independence for building a secure future in a changing world.