Younger generations are saving more money by making trade-offs to limit their spending, according to a new survey by Santander Bank. The survey found that 58% of Gen Z and 54% of millennial respondents have increased their savings since the start of the year, ahead of their Gen X (47%) and baby boomer (39%) counterparts.
The overwhelming majority of Gen Z (81%) and millennials (79%) said growing their savings is a top priority, according to Santander Bank. At the same time, 69% of Gen Z and 62% of millennials made lifestyle trade-offs in the past three months to save more.
The survey found that across generations, consumers with defined savings goals and budgets were more likely to grow their savings during the second quarter of the year. Among those who met their savings goals, top strategies included reducing spending (48%), sticking to a strict budget (41%), and using automated transfers from a paycheck or checking account into a savings account (24%).
