Maria Stevens’ credit cards are maxed out, in part because she relied on them when she was laid off, but she thinks it’s also largely because she struggles to say no to invites from her friends.
After attending 30 social events in four years, she said she ”crashed out” over pressure to spend on social activities in July. In one month, she was invited to several more events, baby showers, weddings, and bachelorette trips, on top of planning her own birthday party.
“I’m like, I’m about to have to hide under a rock because there’s no way.... I was very overwhelmed,” Stevens said. “And I was like maybe I’m going to have to cut ties with some people somehow.”
Stevens, 25, is part of a generation often characterized by loneliness, and the financial strain of friendship might be one reason why. Socializing is still important to Generation Z and millennials – 69% of whom prioritize in-person connection with friends at least weekly. But 3 in 5 say spending on social activities impacts their financial goals, according to a new Ally Bank survey.
It found that overspending is widespread, not an exception, and most young adults are aware they are not budgeting effectively for their social lives.
