Gen X Spends the Most Money Per Year, Gen Z Spends the Least on Housing
In 2021, the average American spent just over $60,000 a year. But where does all their money go? Unsurprisingly, spending habits vary wildly depending on age.
As Visual Capitalist’s Carmen Ang details above, with the graphic by Preethi Lodha using data from the U.S. Bureau of Labor Statistics, how average Americans spend their money (and annual expenses) varies greatly across generations.
Overall in 2021, Gen X (anyone born from 1965 to 1980) spent the most money of any U.S. generation, with an average annual expenditure of $83,357.
On the opposite end of the spectrum, members of Generation Z are the lowest spenders with an average of $41,636. per year. Their spending habits are expected to ramp up, especially considering that in 2022 the oldest Gen Zers are just 25 and still early in their careers.
One of the most consistent spending categories is housing—it’s by the far the biggest expense for all age groups, accounting for more than 30% of total annual spending for every generation.
