From excess consumption of over-priced avo-on-toast and UberEats to regular online shopping sprees and extravagant same-day delivery costs, it’s official: millennials have got a seriously bad rep for overspending. Check out these top 5 Millennial Money Wasters of 2019, and if you’re guilty of any of them, use our top tips to quit while you’re ahead and stop wasting your hard-earned money!
Money Waster #1: Post-pay… Yay or nay?
If you’re a millennial like me, then you’re probably a total sucker for a sneaky online shop, and you probably know a thing or two about post-pay layby services like Afterpay and Zippay. This little guilty pleasure means that, although you don’t get paid until next week, you’ll still be able to snatch up an outfit for this weekend and just pay it off in instalments later. Sounds good, doesn’t it? But, as they say, if it seems too good to be true, then it probably is.
In Mozo’s Afterpay survey, a whopping 65% of Aussies confessed that having the ability to make smaller payments influenced them into making purchases they normally wouldn’t make and overspending.
So, before you proceed to the checkout, you might want to add these tips to your basket!
1. Stop buying a brand new outfit for every event: No one’s going to publicly name and shame you for being an ‘outfit repeater’, so if you can’t afford a new dress for an event, don’t use Post Pay services as a loophole. With the right accessories, you can completely reinvent an old look. Pair your L.B.D with a chunky belt and voila! You’ve got a whole new outfit.
2. Unlink your credit card: If you do resort to Afterpay or Zippay make sure to unlink your credit card from your account. Otherwise, if you can’t meet your instalment repayments, you’ll wind up paying credit card interest charges on top of your Afterpay late fee and that $25 bag you bought on a whim will end up costing you $50 in fees and interest. Play it safe and only ever link a debit card to your Afterpay account.
Money Waster #2: Overdoing it with the UberEats
Food glorious food! UberEats, Deliveroo, Menulog. It’s 2019, and there are more and more meal delivery services popping up by the second! Which brings us to Millennial Money Waster #2.
Research from last year found that of the 2 million UberEats-using Aussies, millennials made up the largest percentage of users (surprise, surprise). And with the flat $5 delivery fee alone, this raises a huge millennial money wasting red flag to me, without even considering the cost of the meal itself.
It’s a hard one to swallow, but if your UberEats addiction is taking a huge bite into your hip pocket it’s time to kick those cravings before they really eat into your savings!
1. Skip the weekly brunch with the girls: If you’re a millennial brunch enthusiast, stop paying $22+ at some ‘hipster’ cafe when you could get your avo-fix at home for a quarter of the price! Why not get all the girls in on it and take turns hosting a weekly Sunday brunch at home?
2. Attend a cooking class: Despite the initial upfront costs, by taking a cooking class you’ll save heaps of money in the long run as you’ll have the skills to cook a meal on your own without having to rely on ordering in ever again.
Money Waster #3: Unused subscription services
Raise your hand if you’re subscribed to Netflix, Stan, Hayu, Spotify and iTunes? Cool! Now, keep your hand up if you actually use all of your subscriptions? Anyone?
Now, I know what you’re thinking, “$10 per month for Netflix is hardly a waste of money.” And maybe you’re right. But first it’s $10 for Netflix, then a fiver for HayU. Then you discover Stan, so there’s another $10. Oh, and what about the Spotify Premium free trial you forgot to cancel?
Yikes! If you’ve got more unused subscriptions than you can count, here’s what to do:
1. DETOX! You don’t need to cancel Netflix for good, but by taking a break for a full month, you can see which services you really miss and which you can get rid off once and for all.
2. Split the cost: Once you’ve rid yourself of any unused subscriptions, ask around and see if your fam or flatmates are up to pitching in for a family account. That way you can save a bit of money and split the cost.
Money Waster #4: The ‘NEED’ for prestige
We live in a time where large parts of our day are spent scrolling through an endless feed of Instagram models flaunting off their latest luxe loot. It’s only natural you’d start to feel a little envious, and drop a fistful of cash on Balenciaga’s (the ones that look like socks!) to keep up with those designer trends, right?
Mozo data from last year revealed that 33.5% of Aussies have a revolving credit card balance because of splurging on little luxuries and not having a plan to pay back the debt! If you’re on the verge of maxing out your credit card, try:
1. Taking a break from social media: With Instagram models decked out in designer threads everywhere you turn, it’s easy to forget that most of them are actually sponsored by brands. Remove the temptation to impulse-buy the latest Gucci and skip the ‘gram for a while.
2. Ditching the ‘need’ for prestige & become a trendsetter in your own rite! Don’t get me wrong, I’m all for a bit of retail therapy every now and then, but debt ain’t cute! Instead of being a trend-follower, become a trendsetter and embrace your own unique style with pieces that reflect you.
Money Waster #5: Uber, Uber, Uber…
Nothing beats having a personal chauffeur ready to escort you wherever you’d like at the click of a button! But having a personal driver on call makes it that much harder to resist the urge of taking the lazy (and more expensive) way out.
Believe it or not, but according to ‘Australia’s Year in Review with Uber,’ in 2018 one Melbourne-based Aussie alone took 1,219 Uber trips, which averages out to be more than 3 trips per day. Even if he was only paying the minimum Melbourne Uber fare of $7.50, that’s a total of $9,142.80!
Follow these hacks to save some money!
1. Top up that Opal or Myki card: If you really want to save some cash, then say au revoir to Uber! Sure, the train or tram’s a little less glamorous than the Mercedes G-Wagon you scored on Uber Lux, but it’ll get you from A to B all the same and for a quarter of the price!
2. Split the bill: How many times you’ve been left with the Uber bill on a night out cause your friend’s phone “died”. If you’re struggling to quit Uber cold turkey, at the very least, make use of UberPool or its split fare feature.
Congratulations! You’ve recognised your money-wasting ways, and with these Mozo-approved money hacks up your sleeves, you’ll be well on your way to becoming a millennial money saver.
Article Written By: Rhianna Dews
About the author: When she’s not binge-watching makeup tutorials or her favourite lifestyle vloggers, Rhianna is giving Aussies the latest money-saving scoop at financial comparison site Mozo. A beauty junkie at heart, Rhianna knows the struggle of fighting the urge to splurge on the latest Huda Beauty palette or Benefit mascara. But since mastering the art of savvy-saving her mission is to prove to young Aussie’s that it’s possible to indulge in retail-therapy and still plump up your savings!