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Valentine's Day: How spending habits of millennials are changing with time

The present generation is witnessing youngsters making themselves financially independent and strong in order to celebrate occasions like Valentine's Day or planning wedding expenditure in advance so that they save some money.

Sarabjeet Kaur Sarabjeet Kaur
New Delhi Updated on: February 14, 2020 17:33 IST
Representational Image

Representational Image

The present generation is witnessing youngsters making themselves financially independent and strong in order to celebrate occasions like Valentine's Day or plan wedding expenditure in advance so that they save some money. No doubt, the times have changed, so has the culture of celebrating Valentine's Day. They also follow different trends in the markets during these occasions. 

According to Aasif Iqbal, Head-Research, Escorts Securities “Today, the age group between 25 to 40 years old are more financially independent as compare to the previous generation. The reason behind this could be the changing family structure from joint to nuclear in the society which is making them less responsive to take care of the whole family. This is the reason it is helping them to celebrate on their own.” Referring to the research by many financial analysts, more than 70 percent of today’s generation loves to spend money on occasions like Valentine’s day on their own. 

Changing Trends

Digital lending approaches are also the easiest way to celebrate any of the occasions like wedding, Valentine’s Day and other expenditures. Digital world lenders have made loan taking methods very easy. To get relief from stress and work pressure everyone finds it an easy way to celebrate the love season and lead a stressful life. “Financial independence makes one celebrate for the future”, says Iqbal. Millennials have stopped borrowing money from parents, siblings, and friends anymore. Now, they have become smarter and value their time along with the occasion.

Youngsters today are more active and aware of spending habits, savings and most of them know how to do financial planning.  Millennials take loans in advance to spend on their special day in advance. 

Advance saving through various options in the markets:

Today, millennials try to save \money through Systematic Investment Plan (SIP) in mutual funds. So that they can get their goal-oriented money accordingly after a certain period. People have become smarter today to enjoy life. 

Invest today to enjoy tomorrow is also a rule which youngsters apply in their life to become financially self-independent. The best option is to diversify their portfolio with different options like investing in Gold (10%), Real Estate (20%), Equity (20%), Mutual Funds (50%) etc. 

Formula of 50/30/20 rule is what generally suits the millennials for utilizing the money during occasions which was popularized by Senator Elizabeth Warren and is well-known budget rule". This is the best-known money plan under which basic rule is to divide up after tax-income and allocate the rest of the fund accordingly by spending 50% on needs, 30 percent on wants and rest of the 20 per cent on savings. 

Millennials are changing their spending habits according to the time by spending for the future in advance. Quick money and advance options are liked by most of them. People have become more conscious to maintain their credit score. Therefore, if you also want to enjoy with changing habits and style then apply the easy money lending methods and loan options by paying easy and interest free EMIs available in the markets. Thus, you don’t have to depend anymore on your parent’s money. 

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