- The rising cost of living and viral money trends are putting money matters on the table for young people.
- Many are exploring popular trends from loud budgeting to the 50/30/20 rule.
- But money hacks should not be seen as a substitute for a clear, long-term plan.
- Make sure to sense-check online guidance from non-regulated sources.
Clare Stinton (pictured above), senior personal finance analyst, Hargreaves Lansdown:
“It’s no secret that the cost of living is rising. And if you scroll social media for 60 seconds, you’ll find plenty of money ‘advice’. In a digital world where we’re turning to the internet for just about everything, from travel inspiration, DIY tutorials and life hacks, it’s no surprise that money has joined the feed. It’s a mix of individuals sharing stories of what’s worked well for them, and finfluencers offering tips and tricks.
First things first, don’t take everything you see online as gospel. What’s shared is often a glossy edit, not necessarily the full picture. The person sharing the ‘advice’ is unlikely to detail their financial situation and may not include any mistakes they made along the way. Remember they have a short window of time to get the information across – and an even shorter window of time to capture your attention. Context matters – especially with money.
Geography matters too. The internet doesn’t have borders, but financial rules do. A sound tax tip in the US may land you in hot water in the UK. So before acting on anything you see or hear online, it’s important to sense-check the source and information.
That said, a huge positive of money being discussed on social media is viral money trends. They’re getting people talking, especially young people. Historically, Brits talking money was a big taboo. It’s a powerful shift, because awareness is the first step in building financial resilience.
Trying trends might not build long-term financial resilience, but they can spark inspiration, challenge your thinking and get you more engaged with your money. Just don’t mistake them as a substitute for consistency and a clear structured plan. Many regulated established providers will offer guidance via social media, or their website, and with these you have peace of mind that the information comes from an expert and will have been fact-checked.
So, with costs continuing to climb and more increases potentially on the horizon, are viral money trends just hype, or do any hold real value for young people?
- Loud budgeting
Popular with Gen Z, loud budgeting is all about being open and vocal about your budget and financial boundaries. For example, if you get invited on a trip with friends, you’re upfront about how much you want to spend.
It’s less about affordability and more about setting boundaries to protect what matters to you. It flips the script on “keeping up with the Joneses,” replacing peer pressure with boundaries and intention. Importantly it empowers you to say ‘no’ – the antidote to YOLO (you only live once).
This is where the real value lies, in the mindset shift this trend encourages. Being honest with your friends and family about your limits makes it far easier to live within your means, so you’re less likely to overspend or take on debt to keep up with others.
- The ‘no spend weekend’
Literally what it says on the tin, for a couple of days you cut all spending. This is the financial equivalent of a crash diet. It’s not a long-term solution but it can be a useful reset. The less you spend, the quicker you can free up cash to help achieve your goals, whether it’s funding a holiday or paying down debt.
This trend can encourage you to start questioning your habits and can break that spending autopilot – do you really need that coffee after the gym every Saturday morning? It can be enjoyable too if you rope friends in on the challenge – whether it’s rustling up something for dinner with the random ingredients you have left in your cupboard or finding free activities to pass the time together.
Want to take it further? Why not use the time to declutter your home and sell unused items – and suddenly your no spend weekend might even make you money!
- ‘Cash stuffing’
A money management system that involves dividing your income into physical envelopes – a different envelope for each bill, helping ensure you don’t dip into money needed for essentials. The principle is sound – financial guidance has long encouraged using separate accounts for different goals. But in today’s largely cashless world it’s not very practical, especially with most bills paid online.
A smarter approach? Take the same concept but go digital. You get the benefit of the structure without the inconvenience – plus the added bonus of earning interest on your cash. Your money stays organised – it’s ready when you need it but working in the background while you don’t.
- The ’50/30/20 rule’
Not a new idea, but one that’s enjoying a social media revival. The concept is simple, split your income into three buckets: needs, fun and the future. Typically, this is 50-60% of income spent on essentials (rent/mortgage, bills, food, debt repayments), 20-30% allocated to fun (holidays, dinners out, new clothes), and 20% goes to future you (savings, investments, pension). The allocations will differ from person to person – housing costs alone can vary hugely depending on where you live in the country.
What this approach does well is reinforce balance. Your income needs to support you today and the future you. To make it stick, automation is key. For the future element, set up a regular saver into an ISA – life is busy and this reduces your admin. It also reduces temptation because moving your money out of your current account means your less likely to dip into it.
This can also help guard against sneaky lifestyle creep, where your spending tends to rise alongside your income. Reviewing how you split your money, especially after a pay rise, can help keep you on track.”
