To be honest, I’ve lost track of who’s in what generation. I’m a Baby Boomer—which means I still remember rotary phones and the thrill of rewinding cassette tapes with a pencil. So when someone says “Gen Z,” I have to Google whether that’s my niece or my barista.

But here’s something that did catch my attention: Gen Z—those born between the late '90s and early 2010s—just saw the sharpest increase in people living paycheck to paycheck over the past two years.

According to a leading data firm, 69% of Gen Z now say they’re living paycheck to paycheck. That’s up from 57% just two years ago. And it’s higher than the U.S. average across all generations, which is 66%.

Now, some of that is about lifestyle. A surprising number of Gen Z--ers choose to live this way—citing things like helping family, paying down debt, or yes...spending a bit more on things they want. (Turns out avocado toast isn’t just a meme.)

But even when they’re saving more—a solid 9.8% of their income, in fact—they’re still struggling to gain real financial independence.

For many of us who purchased a home shortly into our careers, that option is increasingly rare, even in Central Georgia, for the majority of people in this generation. The median age of a first-time homebuyer reached an all-time high of 38 years old according to the National Association of Realtors. This means the average person is out of high school for nearly 20 years before they become a homeowner leaving minimal time to build equity in their greatest asset.

While Gen Z is statistically more averse to debt than Millennials, a surging number of Gen Z-ers have fallen into credit card debt. The average credit card balance jumped to $6,730 at the end of 2024, with the median APR topping 23.37%. Yikes! It’s no wonder that the number of people planning a vacation recently hit a 15-year low. For most Americans, the money simply is not there. 

Gen Z isn’t some uniquely irresponsible generation ignoring their financial future. In many cases, they’re simply navigating an economy that offers far fewer opportunities to those who are just starting out.

That’s where ALICE comes in. ALICE stands for Asset-Limited, Income-Constrained, Employed. It describes people who are working, often full-time, but still can’t make ends meet. And yes, more and more Gen Z workers fall into that category. They might be bartenders, caregivers, delivery drivers, or entry-level office staff. Hardworking folks who simply can’t afford today’s cost of living—even while saving what they can.

And here’s the big picture: by 2030, Gen Z will make up a third of the workforce. They’re our future leaders, customers, innovators—and if we don’t help ALICE Gen Z now, we risk holding back an entire generation before they ever get a fair shot.

Click here to learn more about ALICE and how you can be part of the solution.

Let’s make sure this next generation isn’t just working hard—but getting ahead.