Stay tuned with CashEssentials news ! - beyond payments
By subscribing, you accept our Privacy Policy.

#CashStuffing is Trending on Social Media

Categories : Cash connects people, Cash covers a broad range of transactions, Cash does not require a technology infrastructure, Cash is available to all users
July 11, 2022
Tags : Access to cash, Budget management, Cash Community, Payment choice
After being struck by the pandemic and now the cost of living crisis, Gen Z is embracing cash as an efficient budget management tool.
Communication Team / Equipo de Comunicación

This post is also available in: Spanish

As one wise person said, “money doesn’t grow on trees” it seems that the younger generation realises the importance of money and that it shouldn’t be spent carelessly.

Cash Stuffing

A trend that’s picking up its pace on TikTok among the Gen Z is “Cash Stuffing”, which is a cash budgeting envelope method where people are stuffing away money for various needs such as holiday trips, daily expenses, personal savings, emergency purposes, shopping sprees and so much more.

With each paycheck or amount of cash received, they make separate deposits in these specifically labeled envelopes, making it a unique and innovative way to make ends meet.

@yasminecamilla Trying to get ahead while I have the chance #bills #budgeting #cashbudgeting #ukcash #ukcashstuffing #cashcounting #countingcash #moneyuk #savingschallenge ♬ original sound – Yasmine talks money 💷

One TikToker, Yasmine, who started cash stuffing in September, shares her experience – she said it has helped her pay attention to every expense and restrict spending. She claimed it’s even managed to help her clear her debt in five months and accumulate savings – something Yasmine said she “never, ever” had in her life.”

Another, Jay Monique, smashes a bottle of cognac to access the banknotes she has been saving for months. The video has been viewed over 11,000 times.

One Tiktoker goes by the pseudo cashstuffingfix and has created hundreds of videos with savings tips, often lip-synching to rap music. The influencer has over 500,000 followers and 5.5 million likes.

According to the Fed’s 2022 Diary of Consumer Payments Choice, the use of cash by under 25-year-olds was halved during the pandemic, dropping from 33% of their payments in 2019 to 17% in 2021. However, they remain more intensive cash users than the 25-45 age group.

Graph 1. Shares of cash use by age group, 2016-2021.

According to a 2020 study from the US-based Center for Generational Kinetics, 43% of those aged 18 to 24 reported falling behind on credit cards, rent and other payments. Young adults “want to know about fees and all of the costs associated with a payment method. Cash is this tangible store of value without surprises that allows them to limit their spending,” said Jack Dorsey, President of the Center for Generational Kinetics.

This post is also available in: Spanish