Gen Z: 5 tips to help improve your financial and emotional health

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If you’re a part of Generation Z, you’ve contributed to some truly positive and impactful changes in American culture, including normalizing mental health challenges, and speaking easily and often about anxiety and well-being. We love that — you’re helping to change the national conversation and we’re cheering for you!

But our data shows that Gen Z reports the lowest overall well-being of any generation.¹You’re young enough and emotionally capable enough to turn that ship around! We’ve got your back with five small, actionable tips — many of which may even be found at work — that can help you begin to turn the tide toward improving your mind, body, and wallet®.

1. Check out the mental health resources offered at work

Gen Z is often commended for being vocal about mental health and well-being. To meet your expectations, more organizations are stepping up to offer mental health benefits. It’s yet another way that Gen Z has made a positive impact on our national culture. Employer-sponsored mental health benefits can offer access to virtual or in-person therapy, online chat, and mental health resources like articles and apps.

2. Get covered for whatever life may bring

Enrolling in coverage you can opt into at work can help provide financial support for unforeseen medical events. Ownership rates across all these benefits are low for Gen Z.² The last thing you want right at the start of your adult life is a huge financial burden. Here’s what you should know about them:

Disability insurance helps protect your income if you become too sick or injured to work.
Supplemental health benefits consist of hospital indemnity, critical illness, cancer, and accident insurance. The lump sum benefit is paid directly to the policyholder and can be used to reduce or even help prevent the need to choose between paying for your everyday living expenses or paying a medical bill.
Life insurance is a way to help protect your family and those who depend on you for financial support.

3. Build an emergency fund

High inflation and interest rates have made it difficult for people of all ages to build up emergency funds. We get it. But, while immediate expenses like rent and groceries may be top of mind, developing a plan to start saving may pay off in the long run.

It may seem daunting if you’re living paycheck to paycheck (as are 1 in 4 American workers,³) but try to free up a percentage of each paycheck — say 5% to 15% — and start making automated contributions into a dedicated high-yield savings account.

4. Embrace your downtime

Juggling work, maintaining your social life, taking care of your family, and potentially focusing on a side hustle all in a given day can be a surefire recipe for burnout.

Seventy-two percent of Gen Z workers report they’ve experienced burnout in the past two years, more than any other generation.⁴
When you take a break, you’re not shunning your responsibilities, you’re being responsible for your own well-being.

5. Look out for future you

Retirement may feel like a far-off fairytale right now, but when the time comes, your future self will be thankful that you started preparing now. If you’re like most members of Gen Z, you’re more concerned than any other generation about being able to live comfortably in retirement. You can alleviate that worry right now by starting to save as early as possible and staying consistent. That can turn into a habit which may have a significant impact on your retirement savings account because it takes advantage of the power of compounding interest. Many employers offer 401(k) programs that will automatically take a contribution amount that you set out of each paycheck.

Improving the health of your mind and your wallet doesn’t have to feel like climbing a mountain. More than any other generation, members of Gen Z believe that having good mental health and a healthy balance between different aspects of your life is essential to your well-being.⁵ You can support that belief by taking small steps that can quickly add up with each positive action building upon the next.