In today’s world, people are always searching for the next best thing. This causes spending on heavily marketed, unnecessary products to skyrocket.
In the age of online marketplaces, people find it easier than ever to buy products and have rapid access to anything that they desire. This can leave a financial burden on the new generation as they enter the economy and are vulnerable to overconsumption.
Students have seemingly infinite ways to spend money on food, drinks, clothes and more. “Before school I often stop to get breakfast or a coffee from somewhere… I love to spend time with friends and we will often get food to eat or spend extra to do things around town which leaves me with little left over,” said senior Max Sorgenfry.
Spending habits are developed at a young age, and a majority of the youth does not have the education or willpower to develop sensible, sustainable habits to think about their financial future. Instruction on proper financial responsibility is vital so teens do not fall victim to the epidemic of consumerism.
Although many teens only make smaller, seemingly insignificant purchases, reflection prompts the realization that the purchases add up to have a significant financial impact. Over time, spending money constantly instead of saving can be detrimental.
“If you start saving early, you have the benefit of compound interest over time. Einstein said compound interest is the eighth wonder of the world. It is simply earning interest on interest, and has a significant snowball effect. The key is to start early and leave it in,” said accounting and personal finance teacher Rita Brown.
With the younger generations so focused on spending, the whole generation’s future could be left at risk. If habits developed early on continue later into life, retirement may not be a viable option for many. People do not want to focus on the future and the uncertainty it brings. However, when looking at finances, it is important to plan for the long term.
Creating financial goals and gaining new knowledge on how to better set up for the future is important. “I spend time reviewing my finances and go over it with my parents to make sure I am being smart with my money and am ready for the future,” said senior Ryan Zumdome.
The epidemic of consumerism is fast-spreading and affects many people, but creating good spending habits early on in life and resisting the urge to buy can save money and help insure a more financially stable future.
