The younger generation will never understand the struggle of having a house full of people and only one landline.
It’s great to have access to evolving technology that older generations didn’t experience growing up. Baby Boomers missed out on the convenience of the digital age, but they also didn’t have to shoulder the high costs of shiny new technology like smartphones.
Is Gen Z paying more for modern conveniences than our parents did? In some cases, maybe, but in other cases, maybe not.
Take cable TV, for example, which older generations still swear by for its reliability and ease (or perhaps affection). According to CNET’s We Do the Math series, the average price for basic cable TV and internet is $144 per month. My personal rundown of streaming service subscriptions doesn’t come anywhere close to that price, unless you factor in internet costs.
Are we spending or saving more than our parents?
Raise your hand if you’ve ever heard an older member of your family say, “In my day, this was 25 cents.”
Inflation, or the rising prices of goods and services, erodes our purchasing power. It makes things more expensive and puts a strain on our budgets.
We certainly pay more than our parents did, but is technology part of the problem? Or are technological advances actually helping us save money while also providing convenience and variety?
After recently writing about my parents’ financial advice, I thought I’d dig deeper and compare my monthly expenses to those of Baby Boomers to see who’s spending more on basic living expenses.
read more: Guess what? My baby boomer parents were right about money.
Cable TV and Streaming Services
💵 Who saves more? Gen Z (but it depends on your streaming preferences)
The explosion of digital media and streaming is causing more and more people to abandon traditional cable and satellite TV services. Fewer than half of Americans still have cable TVAccording to a 2023 report, more than 80% of U.S. households use at least one streaming service. Leichtman Research Group.
Cable TV is expensive, but if you’re paying for multiple streaming subscriptions every month, is streaming really that cheap?
I pay about $90 a month for Hulu, Netflix, and YouTube TV. These services let me watch live TV. Without Wi-Fi, these streaming subscriptions are unavailable, so I have to add another $55 a month to my home entertainment bill. Basic cable TV and internet combined comes out to about the same amount.
According to a CNET study, live TV streaming is the next best thing if you want to enjoy cable TV without fees or contracts. But if you want to save money, choose the cheapest internet plan and skip the live TV or premium plans. If you want to save even more, you can also choose the free channels and apps that come with your streaming device, as long as you can tolerate the commercials and viewing restrictions.
read more: Streaming vs. Cable: Which Will Save You More Money?
💵 Who saves more? Generation Z
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The estimated circulation of newspapers has been declining since the mid-2000s, Pew Research CenterNot surprisingly, Americans over 65 are more likely to be 65 than younger adults. Relying on print publications.
In 1990, The New York Times Newspaper delivery costs about $5 a week. Today pay three or four times that amountIt depends on the postal code.
Online news sites also have a cost. Reuters Institute for the Study of JournalismMore than two-thirds of major U.S. newspapers operate behind some kind of Internet paywall, which allows them to generate more revenue from subscriptions. (CNET continues to offer full digital access without a paid subscription.)
If you have multiple digital media subscriptions, the amount will undoubtedly add up. But generally speaking, online access to newspapers and magazines is cheaper today than home delivery. My local newspaper, Austin American StatesmanFor example, daily print delivery can cost $35 per month, but digital access costs just $20 per month.
Landline and mobile phones
💵 Who will save more? Baby Boomers (though Gen Z is getting more value)
For those of us who grew up in the smartphone era, home landlines are a thing of the distant past: My family’s landline was phased out at least 15 years ago.
While the number of people who still use landlines has dropped significantly, half of people over 65 still rely on older phones. Benton Institute for Broadband and Society.
of Average monthly cost For wireless cell phone customers, monthly bills are about $141 (ouch), compared with $20 to $50 a month for a traditional landline. You also have to buy a new smartphone every few years, which isn’t cheap; the most affordable phones on the market today range from $160 to $500.
While regular phones with phone jacks have their advantages (relying on copper infrastructure during power outages), landlines are being phased out or are becoming more reliant on internet connections.
With a smartphone, you pay more for the convenience of carrying a computer the size of your palm and having easy access to the internet, email, camera, music library, books, games, and more, all in one place.
read more: Best Budget Smartphones of 2024
Home Security Systems vs. Smart Homes
💵 Who saves more?? Gen Z (more options available)
My mom was obsessed with shows like Dateline and 20/20 long before my generation started to get on the true crime documentary bandwagon through popular podcasts like Serial. We always had a security system in our house when I was a kid, and I remember the intense panic I felt whenever my brother would open the window in the middle of the night and set off the alarm.
Nowadays, there are rings and Google NestI have Ring installed on my door, and the basic protection plan costs just $5.40 a month, a fraction of the cost of the old Smith Thompson home security system my family installed in the late 1990s. Today, installing a new Smith Thompson home security system would cost about $399, plus $16.95 Monthly monitoring fee.
Advanced technology has not only expanded the options for home security systems, but it has also reduced the cost of professional installation, with DIY being the most affordable option.
read more: Best Home Security Systems of 2024
Video rental and streaming apps
💵 Who saves more? Probably the baby boomer generation (but who wants to fix a VHS or DVD player?).
Henri Leduc/Getty Images
Going to Blockbuster was a rare occurrence as a kid, I think my dad rented DVDs there until Blockbuster closed in 2014. 1 store left In Bend, Oregon.
Before the age of streaming, renting videos was a way to spend a Friday night at home in your pajamas. $3 to rent new releases on opening day Old movies were $2, but the late fees were everyone’s worst nightmare. $1 for each day a movie rental is lateIf you have a picky sibling who refuses to compromise or has a tendency to rent multiple movies, this could get pretty costly.
If you want to watch a movie that isn’t currently available to stream for free with a subscription, you may end up paying just as much as you would if you saw it in the theater. Amazon Prime New Release Rental Prices They range from $3 to $20. Press play and Minimum 48 hours There is a fee to watch, so if you don’t finish watching, you may have to pay again.
Mail and Online Mail and Delivery
💵 Who saves moAgain? Gen Z
Do you remember the last time you went to the post office and bought a stamp to mail a bill, letter, application, etc.? I can’t remember. As a Gen Zer, it’s safe to say I’ve never had to mail anything except the occasional Amazon return (and in that case, I didn’t have to pay for an actual postage stamp).
Long ago, before the internet and electronic banking, people had to send letters by post. In the late 1970s, Postage About 15 cents. Today, a postage stamp costs 68 cents. Not only that, but paper bills and Mandating electronic invoicing.
Baby Boomers also relied on the postal service to send care packages and gift items. Online shopping makes it easy and cheap to buy items online and send them to the recipient. Plus, free shipping has become the norm rather than the exception. Nearly 50% of retailers offer free shipping If a certain payment threshold is exceeded.
Cassettes and CDs vs. Digital Music Streaming
💵 Who’s saving more? Gen Z (and we have 100 million songs to spare)
Henri Leduc/Getty Images
Music connoisseurs might argue that CDs sound better than digital music services like Spotify and others. Apple MusicBut these days, with over 73% of people listening to music through streaming services, most people prioritize portability over quality. International Federation of the Phonographic Industry.
The cassette player Standard Audio Formats From the 1970s through the early 1990s, CD sales surpassed cassette tape sales in 1991. KodakIn the 80s, a cassette tape containing an entire album would cost around $6-8, and in the 90s the average price for a newly released CD was around $10-15, depending on where you bought it.
Currently, new Spotify subscriptions cost $12 per month (the result of Spotify’s second price increase in a year). Apple Music It’s a little cheaper at $11 a month, and you don’t have to be an Apple user to stream it, but for the price of one CD you get to stream over 100 million songs. Spotify and Apple MusicThe only downside is that I don’t own the album.
read more: Apple Music vs Spotify: Which Music Streaming Service is Best for You in 2024?
Simply put, everything is expensive.
Technology has its advantages and can save you money in the long run while providing convenience. It also gives you more options to upgrade or downgrade at different payment levels (for example, paying extra for express shipping or premium streaming plans).
However, technology is constantly evolving, so we often more From phone cases, password protection, and securing new technology with cloud storage, to much more.
But I think most Gen Zers can safely say that if they were obligated to return a DVD on time, they’d find themselves facing late fees at Blockbuster. The same can be said for anyone who rents a new release on Amazon and doesn’t finish watching it within 48 hours. Either way, they’re out of luck (and out of $20).
