Generation Z is widely associated with a fast-paced lifestyle, strong creativity, and close engagement with the digital world. However, behind this dynamic identity lies a recurring financial challenge: difficulty in saving consistently amid the temptations of instant consumption and the influence of social media.

According to a 2024 McKinsey survey, more than 60 percent of Gen Z in Southeast Asia admitted that they struggle to save regularly due to impulsive spending and the pressures of a digital-driven lifestyle. In fact, having savings from an early age is not merely about accumulating money, but about establishing a sense of security and the freedom to make independent life choices.

Why are dream savings important for Gen Z? As reported by Bank Saqu, in an era filled with uncertainty, relying solely on a steady income without financial reserves is not a wise decision. Savings serve as the foundation of financial freedom, whether for emergency funds, education expenses, vacations, or capital to start a business.

By building dream savings, Gen Z gains financial stability that enables them to make life decisions more calmly and strategically. The question then becomes: how can this be achieved amid the pressures of a fast-moving and fully digital lifestyle?

Here are ten smart and practical financial tips for Gen Z. First, set specific goals. Instead of simply stating “I want to save money,” define a clear objective, such as saving Rp20 million within 10 months to purchase a laptop. Clear targets enhance focus and commitment.

Second, apply the SMART principle—Specific, Measurable, Achievable, Relevant, and Time-bound—to ensure that savings goals are structured, trackable, and adjustable when necessary.

Third, understand personal cash flow by tracking monthly income and expenses in detail. Financial tracking applications can help identify small expenditures that could be redirected into savings.

Fourth, separate daily spending accounts from savings accounts. Mixing the two often results in savings being unintentionally used. Having a dedicated savings account provides better protection against spending temptations.

Fifth, utilize automatic features offered by digital banks, such as auto-debit or savings goal settings. Automated systems make saving more consistent without requiring constant reminders.

Sixth, start with small amounts but remain consistent. There is no need to begin with large sums, as saving Rp100,000 per week consistently can grow into millions of rupiah within a year.

Seventh, reduce unnecessary expenses by evaluating lifestyle habits, from app subscriptions to daily coffee purchases. Small but consistent savings can create significant long-term impact.

Eighth, seek additional income sources such as freelancing, content creation, or online selling. Allocate at least 30 percent of any extra income directly into savings.

Ninth, improve financial literacy by reading financial articles, watching educational videos, or attending webinars to make wiser financial decisions. According to Empower, knowledge is the most valuable asset in ensuring savings continue to grow.

Tenth, avoid consumer debt. Use credit facilities or pay-later services wisely. While debt for productive purposes may still be relevant, consumer debt carries the risk of eroding savings and weakening long-term financial stability.