ILLUSTRATION BY RACHEL REVILLA

As 2024 draws to a close, millennials and Gen Zs who are in their adulting era shuttle between childlike wonder (or what little of the Christmas magic remains) and adult-like existential dread.

AboitizPower Distribution Utilities senior vice president and chief operating officer Anton Perdices, said MobileAP, a mobile application designed to automate electricity bill payment and monitor consumption in real-time, has been gaining momentum across the group’s franchise areas, thanks to the pandemic-driven digital adoption.

They’re wrestling with a perfect storm: inflation eating into their noche buena budgets, the weight of caring for aging parents who may not have prepared for retirement, lifestyle creep in the age of aesthetic cafes and viral experiences, and the looming shadow of artificial intelligence reshaping career landscapes. In many ways, they’re financially savvier than their parents—but also profoundly more confused.

More than 80 percent of their financial knowledge comes from the internet, a double-edged sword slicing through traditional money wisdom. The World Economic Forum’s recent white paper on “finfluencers” highlights how 18-year-olds now navigate the financial system with unprecedented sophistication. They masterfully deploy automated savings apps, grasp the dark side of compound interest on debt and can explain portfolio diversification better than some financial advisors.

But here’s the twist—these 20- to 40-somethings are navigating a minefield of online financial advice often laced with hidden agendas. That’s terrifyingly dangerous because financial crises have become both more frequent and intense, interrupting the magic of compound returns. Today’s scams are 100 times more insidious compared to when their parents were adulting, capable of vaporizing years of careful investing in one clever cryptocurrency scheme or fake “guru” masterclass.

Woke, but confused, adulting Filipinos oscillate between financial paralysis and extreme penny-pinching. Often, both. For want of a better term, I call it “financial bipolarism.”

Picture this: They obsessively switch off unused appliances and wage war against dripping faucets, then drop a month’s utility bill on one Instagram-worthy dinner. Or flip the script: they audit their GCash transactions with forensic precision while their Shopee and Lazada carts overflow with “essential” purchases. I know 40-somethings who guard their digital bank accounts like Smaug’s treasure while agonizing over a P500-contribution to the homeowner’s association. Financially lost? Perhaps. But in this economy, who can blame them?

Financial chill might be the best Christmas gift for these adulting Gen Zs and millennials. True financial planning isn’t about extremes—it’s about finding that sweet spot where you can savor your present while securing your future. Relax a little, knowing that if your automated investment systems are humming along, that occasional milk tea or weekend getaway won’t derail your financial future.

Just as corporations close their books with year-end reviews, those aiming for better money management should embrace the Christmas season with financial peace. Here’s your holiday action plan:

1. Revisit your vision board, or create one before noche buena. Craft a visual story of what truly brings you joy and requires money to achieve. Be brutally honest—you’re your only audience. Mine features properties, a growing diversified portfolio, robust emergency funds, comprehensive medical insurance, travel adventures, books, financial shows and vacation houses. Draw yours like money is no object, then work backwards.

2. Crunch the numbers and map your runway. Partner with a financial advisor to calculate your required annual savings and growth targets. Then, breathe. Remember, every financial giant started with small steps. I know Warren Buffett did.

3. Whether you start with P500 or P50,000 monthly, automate your financial future. Set up recurring transfers for savings and investments. Market research consistently shows that steady, boring investing beats clever market timing. Nike said it best—just do it.

4. Carve out 5 percent of your income for “joy funds.” Yes, that’s permission to enjoy your present while building your future. Life’s too short for financial guilt trips. Doing this also protects you from splurging when you’re frustrated.

5. Allocate another 5 percent for giving back. It’s not just good karma—studies show charitable giving actually improves financial well-being.

Gen Zs may battle quarter-life crises while millennials face midlife mayhem, but financial peace can be your anchor through both. Remember: Your definition of financial success is yours alone. Let that guide you from being merely woke to genuinely wise. —Contributed

The author is a financial literacy advocate with shows on ABS-CBN News Channel, and online through her SalveSays Facebook, YouTube and Kumu social media pages.

Subscribe to our daily newsletter

By providing an email address. I agree to the Terms of Use and acknowledge that I have read the Privacy Policy.

She is also president and CEO of Empower and Transformtaya777, OPC.