Explained: What Is Money Dysmorphia

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28 July 2024

Compared to their parents, Gen Z has greater access to financial information and career freedom. However, not everybody is optimistic about their financial prospects

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A new report shows that almost half of young adults experience "money dysmorphia". Gen Z, or those born between 1997 and 2012, are concerned about saving

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The condition was described as "a negative and unrealistic perception of one's financial wellness or financial position" by financial therapist Amanda Clayman

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She told Business Insider that it is more so "pervasive worry, vigilance - like an internalized feeling of unsafety with money" 

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This occurs even when there are no financial problems. Ms Clayman said that over-thinkers "find that money is something that is very easy to worry about"

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Further, youngsters are going through severe life transitions like weddings, buying a house, career change, studying or family

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The idea is being discussed since a staggering 50% of Zoomers claim to be dependent on their parents for financial support to save money for their life milestones

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As per Ms Clayman, these decisions were taken by previous generations in "a different environmental context" long before the era of social media demands and credit cards

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Moreover, the idea of pension is now being eliminated and retirement plans have become self-funded. This also adds additional stress aside from inflation and high living costs

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