As prices on everyday items stay stubbornly high, the thought of budgeting for going out with friends feels less and less important to some.
A survey conducted by Ally Financial found that most adults do budget for social spending, but it’s impacting their goals for other financial milestones like paying off student loans or buying a home.
Friendship costs money
By the numbers:
Reasons why people spend money on social outings:
FOMO (fear of missing out): Nearly 25% of the 1,000 consumers surveyed
What they're saying:
"FOMO is real and can lead to overspending that harms our financial well-being," said Jack Howard, Head of Money Wellness at Ally. "Be open with your friends if you can't swing that brunch or birthday trip. You might be surprised to learn they're in the same boat. Discussing money openly with friends can help dismantle the shame around financial struggles and is a great way to explore affordable ways to spend time together. Plus, the ultimate BFF is someone who respects your relationship with money."
Overspending on activities with friends:
42% said they overspend a few months out of the year
18% said they overspend every other month
Skipping major events in order to save money
44% of Gen Z/millennials
On average, people spent $250 a month on social outings with friends, Ally said.
Friendship > saving
Though participants in the survey said going out with friends is making it harder to achieve other financial goals, they’d rather stay connected with their friends than save more.
Dig deeper:
Fifty-two percent of Gen Z and millennials have 1 in 3 friends they see regularly by going out to eat or drink (72%), spending time outdoors (56%) or going out for a birthday celebration (50%).
This same group of adults (32%) go out to eat with their friends weekly or more.
"Friendship remains a priority, with 23% of Gen Z and millennials finding ways to spend time together without spending money, like through ‘no spend hangs,’" Ally found.
Additionally, 69% of Gen Z and millennials prioritize in-person meet-ups with their friends at least weekly.
Pressures of being social
By the numbers:
20%: Gen Z and millennials said financial or lifestyle differences contributed to falling out with friends
24%: Finance and/or lifestyle differences with friends caused anxiety
17%: Felt they couldn’t be honest with friends about their finances
Along gender lines, women tend to feel more strain when it comes to staying social, according to Ally.
Social budgeting made it difficult to save
Women: 30%
Men: 22%
Difficult to save for emergencies
Women: 27%
Men: 20%
Feeling confident about financial/lifestyle differences with friends
Women: 19%
Men: 36%
The Source: Information for this article was taken from a survey conducted by Ally Financial in June 2025. Ally surveyed 1,000 consumers who represent the Gen Z (37%) and millennial (63%) populations.
www.fox32chicago.com
A survey conducted by Ally Financial found that most adults do budget for social spending, but it’s impacting their goals for other financial milestones like paying off student loans or buying a home.
Friendship costs money
By the numbers:
Reasons why people spend money on social outings:
FOMO (fear of missing out): Nearly 25% of the 1,000 consumers surveyed
What they're saying:
"FOMO is real and can lead to overspending that harms our financial well-being," said Jack Howard, Head of Money Wellness at Ally. "Be open with your friends if you can't swing that brunch or birthday trip. You might be surprised to learn they're in the same boat. Discussing money openly with friends can help dismantle the shame around financial struggles and is a great way to explore affordable ways to spend time together. Plus, the ultimate BFF is someone who respects your relationship with money."
Overspending on activities with friends:
42% said they overspend a few months out of the year
18% said they overspend every other month
Skipping major events in order to save money
44% of Gen Z/millennials
On average, people spent $250 a month on social outings with friends, Ally said.
Friendship > saving
Though participants in the survey said going out with friends is making it harder to achieve other financial goals, they’d rather stay connected with their friends than save more.
Dig deeper:
Fifty-two percent of Gen Z and millennials have 1 in 3 friends they see regularly by going out to eat or drink (72%), spending time outdoors (56%) or going out for a birthday celebration (50%).
This same group of adults (32%) go out to eat with their friends weekly or more.
"Friendship remains a priority, with 23% of Gen Z and millennials finding ways to spend time together without spending money, like through ‘no spend hangs,’" Ally found.
Additionally, 69% of Gen Z and millennials prioritize in-person meet-ups with their friends at least weekly.
Pressures of being social
By the numbers:
20%: Gen Z and millennials said financial or lifestyle differences contributed to falling out with friends
24%: Finance and/or lifestyle differences with friends caused anxiety
17%: Felt they couldn’t be honest with friends about their finances
Along gender lines, women tend to feel more strain when it comes to staying social, according to Ally.
Social budgeting made it difficult to save
Women: 30%
Men: 22%
Difficult to save for emergencies
Women: 27%
Men: 20%
Feeling confident about financial/lifestyle differences with friends
Women: 19%
Men: 36%
The Source: Information for this article was taken from a survey conducted by Ally Financial in June 2025. Ally surveyed 1,000 consumers who represent the Gen Z (37%) and millennial (63%) populations.
Young Americans say friendship is too expensive; nearly half skip events due to costs: study | FOX 32 Chicago
More women feel the financial strain of trying to stay social, according to Ally's survey.
). I can keep up with her but she living like her money going run out if she doesn't spend it. She talking about cutting ppl and, even some family, because she won't keep footing the bill.
