That kind of guidance is more important for younger clients, as comparative data between Boomers and Gen Z found that Boomers were far more able to adjust to belt-tightening, the survey found.
For example, Boomers were:
- 15% more likely to dine out less (58% versus 43%)
- 13% more likely to buy cheaper/discount groceries (49% versus 36%)
- 22% more likely to drive less (49% versus 27%)
- 16% more likely to reduce utility costs (40% versus 24%)
- 14% more likely to shop at lower-cost retailers (37% versus 23%)
The divide makes sense when these two generations are viewed through the lens of the social and consumer pressures of their times, Cecere said.
“They come from two different worlds, in a way. The world of Gen Z is more product-driven, consumer-driven and brand-driven. Boomers didn’t grow up worrying about whether they were grocery shopping at Walmart vs. Wegmans, so it’s easier for them to make adjustments,” he said. “The next generation didn’t grow up in the Boomers' world, so they just don’t have the discipline a Boomer has.”
They’re also not feeling the impact on their finances as strongly, the survey found, as only 38% of Boomers said they felt price increases had impacted their financial goals. This could partially be due to the fact that most Boomers have an established financial strategy they can lean into.
As a financial services company, Thrivent and Thrivent affiliated advisors believe that clients can come to them at any stage in life and benefit from their relationship with their advisor. Yet people often assume that their problems with money or lack of money is a barrier to receiving help, the survey said. The majority of respondents (52%) said they would seek out financial planning advice if they had more money.
To address this, Thrivent developed a program, called Money Canvas, that the company launched in 2019 to help people across the U.S. handle their money better. To date the program has served more than 2,900 families and delivered more than 6,200 free coaching sessions.
“We developed this program to reach a segment of the population that an advisor is not going to reach. There are clients who don’t feel they’re ‘worthy’ of dealing with a financial planner because they don’t have money, or a 401(k) rollover,” Cecere said.
Through online coaching, the Money Canvas program takes users through three 1-hour sessions designed to building healthy budgeting, saving and spending habits. The plans are personalized and actionable, and while it does introduce the user to a financial planner, it does not include sales pitches.
The survey was conducted in May and polled 2,221 adults across the country. The data were weighted to approximate a target sample representative of the U.S. in terms of age, gender, ethnicity, income and geography.