4 outdated money tips that millennials and generation zero hate

4 outdated money tips that millennials and generation zero hate

  • Vivian Tu teaches the 1 million Millennial and Gen-Z TikTok followers about financial literacy.
  • She says that the advice to get a second job or not to eat in the city does not work for young people as it did for their parents.
  • Millennials and Gen-Zers are often told that all debts are bad, but you say it depends on the context.
  • Read more stories from Personal Finance Insider.

After earning her first million on Wall Street, 27-year-old Vivian Tu (@yourrichbff on TikTok) realized that not even the highest-earning traders had basic personal finance skills that to help them manage their long-term wealth.

You started doing TikToks to share basic tips on personal finance and investing, but you quickly realized that young people face different economic problems than previous generations.

“Personal finance has long been very pale and very masculine,” you shared with Insider when asked why traditional personal finance advice simply doesn’t hit millennials and the Zer generation. You make a point of talking to her followers as if she were “their rich best friend”, with stories and perspectives that young people can tell.

According to You, here are four outdated tips that millennials and Gen Zers no longer listen to.

1. Get a second job to pay off debts

Say that older generations often forget that the cost of living is “exponentially higher” for millennials and the Zer generation, and that the advice to get a second job will not solve bigger systemic problems.

“When my parents went to college, tuition cost a banana, a quarter and a handshake,” she jokes. “But now, in order to go to college at the age of 17 or 18, you have to sign a piece of paper that says, ‘I’m good for six digits.’

The advice to “get a second job” comes to mind when young people get tired of how expensive it is to do the same things their parents did when they were young.

2. Don’t eat outside to save money

“I hurry that advice, “you admit.” I think the older generations have offered this advice that if you get rid of your head, if you do all the right things, you’ll achieve the American dream. But the American dream has changed. “

In line with the advice to get a second job, young people hate being told not to eat in the city to save money. While some millennials and the Zer generation reduce food consumption in the city, they still prefer to keep a realistic amount of money aside to dine with their friends and simply enjoy their lives.

3. Stay loyal to your full-time job

Millennials and Gen Zers are the generations that initiated the Great Resignation, the movement that led workers in various industries to leave their jobs and demand more pay, more benefits and better treatment.

Unlike the more conservative advice of the older generations, the Great Resignation actually creates the perfect climate to negotiate a higher salary or apply to another company that can offer more money for the exact same job description.

“Being loyal doesn’t pay,” he explains. “If you stay too long at work, you could lose millions of dollars because they know you won’t leave. You can only save as much as you earn, but you can always increase what you earn. “

4. All debts are bad

Because younger generations are often stuck in debt on student loans, they are often told this. all Types of debt should be repaid immediately, or so all types of debt should be avoided altogether. You argue that we need to start normalizing debt.

Some types of debt, such as student loan debt and credit card debt, can prevent you from meeting your financial goals if you ignore them.

But mortgages or business loans, on the other hand, can be beneficial in building the life you want. “Even if rich people can afford a house in cash, they still get mortgages,” she explains. With mortgage rates between 2% and 4%, you say that rich people will pay as little as possible in advance for the house, then they will use the rest of the money to invest in the market.

“When we lend money to the poor, we call it debt,” you say. “When we lend money to rich people, we call it leverage. Debt is not good or bad morals. Like an investment account or a savings account, debt is a tool, and young people need to learn how to use it.”

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