Spending the inheritance: Boomers splurge on dining, travel as young people cut back on essentials

Retirees have increased spending on everything from insurance to travel while Millennials and Gen Z are pulling back on essentials as cost-of-living pressures continue to disproportionately affect younger households.

“What we’re seeing now is younger people are cutting back, not just their discretionary spending, but also their essential spending,” he said. At the other end of the spectrum, older Australians increased their spending in all categories, except charities.“Insurance, medical and utilities are some of the really key categories for older people, and they have seen significant rises in them,” Tubman said.

“Some of the older generation aren’t facing those same pressures that younger people are facing, and so despite the fact they may or may not like the fact that those costs have gone up, they have the means to lean into them,” he said. About 162,000 people rejoined the workforce in 2022-23 after retiring. KPMG urban economist Terry Rawnsley said the proportion of retirees picking up work again for financial reasons was easing, from 32 per cent in 2019-20 to 29 per cent in the current year.

Overall, Australians increased spending by 2.5 per cent in the first three months of this year compared with the same period last year, while inflation rose by 3.6 per cent.

Source: Healthcare Press (healthcarepress.net)

Australia Latest News, Australia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Spending the inheritance: Boomers splurge on dining, travel as young people cut back on essentialsYoung people have been cutting back on items such as groceries and health insurance, while over 65s have increased spending in almost every category.
Source: smh - 🏆 6. / 80 Read more »

Baby Boomers hit the retirement jackpot and are spending upAfter decades of saving, older Australians are spending up. But the wave of cash is causing headaches for the inflation-fighting treasurer and RBA. Can the good times last?
Source: FinancialReview - 🏆 2. / 90 Read more »

Inflation Australia: Baby Boomers direct spending at kids and grandkidsFinancial advisors report many over-65s are helping family members rather than splurging – though travel is a thing.
Source: FinancialReview - 🏆 2. / 90 Read more »

Shock finding about Baby BoomersBaby Boomers tend to be regarded as conservative and closed-minded but eye-opening new research indicates they’re more progressive than Generation Z in some cases.
Source: newscomauHQ - 🏆 9. / 77 Read more »

Sydney house prices: Why city boltholes are the next must-have for Baby BoomersA new wave of apartment buyers could fuel stiffer competition, experts say.
Source: FinancialReview - 🏆 2. / 90 Read more »

Stop blaming Boomers for all your problems – they’re not even in charge any moreNot every Boomer is hell-bent on plundering the natural world, locking everyone else out of the housing market and decapitating the letterbox on their way down the driveway.
Source: brisbanetimes - 🏆 13. / 67 Read more »