Millennial Financial Confidence and Social Media

millennial Financial Confidence and Social MediaThe millennial contemporaries and Social Media Howonline relationships affect millennials m onenesstary esteem Abstract maven of the largest generations in history is moving into its prime consumption years. The millennial generation, as a technologically savvy culture, is looking to reshape the economy, taking their unique fiscal experiences into the way they look to legislate their currency. Having lived finished the 2008 Great Recession, however, millennians be haunted by the unexpected obstacles an inconsistent economy poses. They exhibit immense distrust with monetary institutions due to struggles during their monetary upbringing, and argon the first generation to support accumulated excessive amounts of pupil loan debt. Therefore, the Millennial generation takes haughtiness in practicing sparing step uplay habits, reservation sure to put cash into their bringings account each month. However, Millennials ar as well as heavily influenced by their relationship with their peers via mixer media platforms. The self-presentation surmise stern be used to explain wherefore neighborly media influences millennials, as the passion to receive societal acceptance drives millennial behaviors. As statistical register has proven, Millennials looking a heightened sense of mixer acceptance when physical symbols of affectionate adequacy are shown through like, favorites, retweets, or con situationr. Millennials also place an emphasis on experiencing live fifty-fiftyts rather than material items, explaining that these level offts are much enjoyable when shared through mixer media. Studies have also shown that the haughty reinforcement Millennials receive from likes, favorites, or retweets, weighs heavily into their monetary decision making. Therefore, the argument can be do that the relationships Millennials pursue through kind media negatively influences millennial put acrossing as photos and posts on their newsfeed encourage reckless sheding, relying heavily on funds received except through their increased debt collection. IntroductionMillennials represent the largest living generation and more(prenominal) than a quarter of the population at 83.1 million, surpassing Baby Boomers at 75.4 million (Cutler, 2015). Because of the Millennial generations massive size, empathizeing and adapting to their pass tendencies is imperative to a companys growth pecuniaryly as the generation currently commands an estimated $1.3 trillion in annual consumer spending (Eventbrite, 2013) Many studies have been conducted between the Millennial generation and financial institutions, identifying their experiences and attitudes which in turn help to shape how they interact with one another. Millennials, having lived through some(prenominal) the 2008 Great Recession and the digital revolution, are making constant decisions involving their currency allocation. However, they are experiencing greater financial struggles. Millennials are the first generation in the modern age to experience extravagantly levels of poverty and unemployment, causing many a(prenominal) to lose faith in financial institutions, and experience high levels of stress when allocating money from small, seemingly insignificant paychecks (Cutler, 2015). Due to these struggles, the Millennial generation takes pride in their financial readiness, prioritizing conscious spending in regularise to avoid financial problems in the future, and feeling confident in their education to land them a successful career. However, the emphasis Millennials place on maintaining a brotherly media deemed acceptable by peers is translating into harmful financial behaviors. In 2015, al virtually 50 per centum of Millennial purchases were influenced by mixer media (Pagliara, 2017). Therefore, the understanding of the necessity to spend consciously is distanced by affectionate medias created desire to spe nd recklessly due to the emphasis Millennials place on media likes as a visual representation of social acceptance. Through a brief over suasion of the general Millennials financial outlook compared to generations prior, unite with both an analysis of how Millennials interact with social media and how social media influences their spending habits, an argument can be made and and then goed that the relationship between social media and the Millennial generation negatively affects their financial stature.Literature ReviewThe Millennial Generations Overall Financial OutlookTo break out understand the first harmonic attitudes and beliefs Millennials hold regarding financial institutions, it is important to first compare the monetary characteristics of the Millennial generation to both itself as well as old generations including Baby Boomers and Generation Xers. After comparing Millennials early-life economic experiences to those of Generation Xers and Baby Boomers, The Pew Research Center fix that, while Millennials are the to the highest degree educated generation in American history, they also serve as the first generation to have higher student loan debt, poverty, and unemployment combined with lower levels of wealth and ad hominem income (Cutler, 2015). With the high cost of education, the Pew Research Center added that, as of 2015, two-thirds of recent bachelor degree recipients have outstanding student loans averaging near $27,000 compared to graduates two decades ago with student loans averaging only $15,000. A 2014 Wells Fargo Millennial register conducted by Harris Poll found 42% of Millennials come upon debt as an overwhelming financial concern as compared to only 23% of Baby Boomers. Furthermore, the canvas concluded that Millennials list student loan debt as their top concern while Baby Boomers focus on saving for retirement. Due to the burden of piling debt combined with difficulties landing successful jobs right out of college, Millennials immediately perceive a disconnect between the money spent on education and future earnings, developing a deflated, negative financial self-image early in their careers. A 2014 survey conducted by Pew found that a mere 42% of Millennials identify as center(a) class, a significant fall from the same survey conducted in 2008 where 53% of Millennials claimed themselves as middle class. Most significantly, however, the same survey also concluded that, in 2015, 46% of Millennials identified as low-middle to lower class, a notable rise from 25% in 2008. Contradictory to this statistic, however, the Pew Research Center found that 85% of Millennials are optimistic when asked about their future financially, saying they have enough to live unattackablely now and plan to save enough to create a lifestyle they want in the future (Cutler, 2015). This statistic gives an insight to how Millennials view their future wealth, offering worthy training regarding their thoughts on how to spend thei r money today. While financial optimism is necessary for confident future spending, Millennials currently experience measly financial self-image, affecting their spending habits today as they are forced to make hasty decisions that testament hopefully increase their savings so they will have enough financial documentation to spend generously in the future. These statistics can be developexplained through an in-depth analysis of the basic attitudes of the Millennialgeneration, identifying why Millennials perceive low financial self-image.Another study conducted by the Pew Research Center suggested Millennialsexperience greater institutional distrust than generations prior. When askedabout the level of trust Millennials have in authority figures, government andfinancial institutions, and the general public combined, only 19%, or one infive, felt as if they can be trusted, a statistic much lower than 40% of BabyBoomers who responded to the same question (Cutler, 2015). This institu tionaldistrust Millennials experience may be due to both current and previouseconomic experiences that have frightened them into becoming an innategeneration of thrifty savers, while simultaneously existence impulse spenders, atopic which will be discussed in the followers analysis. The Great Recession in2008 influenced the Millennial generations perception of economic institutionsas many either struggled through the recessional themselves, or observed thefinancial turmoil their parents experienced. Many Millennials describe theGreat Recession as a warning to save now in an childbed to survive unforeseeneconomic problems in the future. The recession also caused many Millennials tograduate into an environment burdened by high unemployment rates andundesirable salaries as jobs gained during the economic recovery paid onaverage 23% less than jobs before the recession (Boberiene & McLeigh,2014). Emily Pachuta, head of investor insights at UBA, explained that due tothe recession, Mil lennials have a Depression-era wit largely becausethey experienced market volatility and job security issues very early in theircareers. (Boberiene & McLeigh, 2014). Millennials are also skeptical whendiscussing government funding, especially when planning for retirement. AHarvard poll found that 51% of Millennials believe there will not be any fundingavailable in the Social security measure System by the time they retire. Additionally,a Wells Fargo Millennial Study found that over 50% of Millennials have alreadystarted allocating anywhere between 1% to 10% of their paycheck to retirementfunding. Another Harvard poll noted that young people feel a disassociationbetween their priorities and the priorities of elected officials as they vieweffective results from political involvement as few and far between (Rampell,2014). A 2014 article from the GrandRapids Business Journal argues the 2008 Great Recession made Millennialstimid about investing in financial markets, creating this desir e fortransparency and authenticity when dealing with companies and organizations(Marsh Private Client Services, 2015). Adding to their fear of financial crisisin the future, Millennials also struggle with the pressure of debt. Aspreviously mentioned, recent graduates have significantly more student loandebt than graduates two decades prior. Among all Millennials, Wells Fargo found47% of working Millennials are allotting 50% or more of their paycheck tocertain categories of debt including honorable mention card debt (16%), mortgage debt(15%), student loan debt (12%), auto debt (9%), and medical debt (5%). BecauseMillennials are allocating a large sum of their paycheck to paying off theiraccumulated debt, many are living paycheck to paycheck, leaving little to no property left to spend elsewhere. After reviewing the statisticalanalysis of the Millennial generations experiences, thoughts and feelingsregarding financial institutions and their own personal finances, exploringgeneric per sonality traits may befall a direct correlation to betweenmillennials innate behavior and their desire to maintain a overbearing image onsocial media adding which, therefore, progresses their poor financialexperiences. As mentioned previously, Millennials are money-conscious due tothe economic hardships theyve endured. However, Millennials are also heavilyinfluenced by social media, and the pressure to maintain a noteworthy lifestylesometimes overrides their instinct to save. Social Media has affectedMillennials in much(prenominal) a way that theorist have discussed they have becomesub-clinical narcissists. Clinicians do not see sub-clinical narcissists aspathological, however there are traits of self-centeredness and self-lovethrough the eyes of a personality psychologist. The perception of Millennialsare self-loving, ambitious, technology savvy, and family oriented. VaidhyanathaBalaji (2015) oversaw a study of a group of Millennials through a survey aboutsubclinical narcissists habits. The survey revealed that they did not show adeveloping problem of narcissism even though Millennial scores were fitting aboveglobal average of subclinical narcissism (Balaji, 2015). Balaji summed upMillennials as mazy individuals who are part self-centered, part-socialhuman beings. Millennials are greatly influenced by positive reassurance,their need for constant aid and feedback. They are concluded to be veryindependent and self reliable while being conservatively confident. Thecombination of both slightly narcissistic characteristics and ambitiouscharacteristics argues that the Millennial generation has altered thedefinition of a career. Millennials are less committed to future(a) thetraditional corporate ladder, and more likely to seek business opportunitiesthat accommodate their own personal values, including flexible hours, autonomy,and control, while simultaneously proving they have the maturity to support themselvesindependently (Boberiene & McLeigh, 2014). On th e other hand, a studyconducted by the Family Office Exchange (2015) indicated that Millennialsworking for corporations feel they must be able to relate to their advisors ona personal level before they trust them in a business setting. The 2015 studyalso indicated that Millennials are less likely to listen to supervisors who say in a demeaning or condescending tone. Instead, Millennials respond tosupervisors who focus on establishing a relationship by asking personalquestions about their interests, goals, and opinions and then sharing personalstories of their own (Marsh Private Client Services, 2015). Because Millennialsemphasize engagement, the study argues that Millennials are driven by personalrelationships, with a desire to showcase liberty on the surface, however,wanting collaborative attention in the form of both positive, constructiveadvice and feedback (Marsh Private Client Services, 2015).Theoretical FrameworkResearchers have warned Millennialsregarding their reliance upon social networking sites to reinforce personal conceit through boosted likes or positive comments from close friends asthis behavior can result in the reduction of self-control both on and offline.Researchers at the University of Pittsburgh and Columbia Business groom foundthat users who are focused on close friends tend to experience an increase inself-esteem while browsing their social network (Stephen & Wilcox, 2013).Afterwards, however, these users display less-self control which is evidentlycorrelated to these individuals having higher body-mass indexes and higherlevels of credit-card debt (Stephen & Wilcox, 2013). A study conductedregarding the use of Facebook and its effects in its users self-esteem foundthat Facebook only increased participants self-esteem when they were focusedon the information they were presenting to others (Stephen & Wilcox, 2013).Keith Wilcox, adjunct professor of marketing at Columbia Business School and coauthorof this Facebook research experiment, explained that, We find that peopleexperience greater self-esteem when they focus on the image they are presentingto strong ties in their social networks. This suggests that even though peopleare sharing the same positive information with string ties and weak ties onsocial networks, they feel better about themselves when the information isreceived by strong ties than be weak ties. Keeping this information in mind,the study continued with its investigation on the relationship between onlinesocial network use and offline behaviors associated with poor self-control(Stephen & Wilcox, 2013). The results suggested that greater social networkuse is associated with a higher body-mass index, increased binge eating, alower credit score, and higher levels of credit-card debt for individuals withstrong ties to their social network (Stephen & Wilcox, 2013). Therefore,this study can make the implication that self-control is an important mechanismfor maintaining social order and well-being, howeve r, the desire for positivereinforcement on social media outweighs rational, controlled decision making. To better understand the loss ofcontrol experienced through social networking site fundamental interactions, theself-presentation theory can be used to explain how influential social mediahas become during the management of an individuals private and public self.Self-presentation is the process by which individuals represent themselves tothe social world, occurring at both the conscious and the unconscious levels ofcognition (International cyclopaedia of the Social Sciences, 2008).Self-presentation can be used as a means to manage the whims others formof oneself, extending into strategic or tactical self-presentation, otherwise turn inn as impression management, which occurs when an individual seeks to createa desired image of invoke a desired receipt from others (International cyclopaedia of the Social Sciences, 2008). Largely a prosocial event,self-presentation forces an indi vidual to negotiate through social interactionsin order to fulfill the psychological needs for social approval.Self-presentation is complex as it involves both the individuals interpersonalcues such as the perceived responses of others, and the function of socialsituations in response to cues from the social environment (InternationalEncyclopedia of the Social Sciences, 2008). Therefore, self-presentation isboth an individual experience and a social phenomenon, highlighting thetensions between human interactions (International Encyclopedia of the SocialSciences, 2008). Much of the content produced onsocial media is photographs, links and information posts used to present onesonline self. Self-presentation theory, as discussed previously, is consideredto be motivated by the desire to make a favorable impression on others, or animpression that corresponds to ones ideals, which an extend to the projectionof an online identity (Herring & Kapidzic, 2015). Social media provides aplatform for Millennials to explore the effects of their self-presented imageon their peers. Generally, photo posts, as well as text posts occasionally,generate positive feedback and, thus, have a positive impact on self-esteem.Visual content is a central resourcefulness for creating an appropriate onlineimpression, and an attribute many Millennials focus on when seeking socialapproval. Therefore, the self-presentation theory helps to support thehypothesis that Millennials participate in reckless spending in order to createan adequate online image when viewed by others. MethodologyTo de termine the extent to whichsocial media influences the Millennial generations financial stature, researchwill be focused on an analysis of statistical evidence regarding first, Millennialsemphasis on the need to experience social acceptance on various social mediaplatforms, then, on how social media influences the spending tendencies ofMillennials frugal minds. The background information presented during the literature review was necessary to understanding how previous financialstruggles have controlled the spending habits of the Millennial generation,training them to recognize the necessity to conscious spend in an effort tomaximize a financial future. The statistical evidence will then support theargument that social media creates a divide between the understanding forfrugal spending and Millennial actions as they are coerced into spendingrecklessly in order to achieve social approval from their peers via socialmedia recognition.FindingsSocial Media and its Relationship to the Millennial Generations Social AcceptanceAfter reviewing background information on Millennials financial experiences, it is evident that Millennials have established an inherent necessity to save due to their poor financial self-esteem created by an immense amount of debt accumulation and financial distrust. However, I make the argument that Millennials are distanced from their understanding of the necessity to s ave due to their overwhelming desire to portray an over-exaggerated, lavish lifestyle on their social media sites. As subclinical narcissists who showcase self-sufficiency on the surface while subconsciously craving positive reinforcement from their peers through social media acceptance, Millennials have prorized their online relationships, placing an emphasis on depicting a life of interest within the social realm, and, ultimately, altering how they think about real world friendships and relationships. To better understand the impact social media has had on Millennial relationships, a brief background on how online interactions has influenced the dynamics of young peoples social lives is explored in the following analysis. A 2016 study conducted by the Nielsen Norman group found that premature exposure to social media has influenced Millennials approach to friendships, relationships and self-image as their subtle online interactions have become hard-core and visible, causing socia l contexts to become merged and entangled. In 2006, the Pew Research Center found that 55 per centum of teenagers account having at least one social media account. However in 2010, just four years later, 73 percent of younger Millennials, around the age of middle to high school adolescents, and 78 percent of older Millennials, college-aged young adults, reported having a social media presence (Meyer, 2016). today, approximately 90 percent of Millennials, both teens and young adults alike, have at least one social media account, many of them updating an average of four or more accounts at a time (Meyer, 2016). With the attention Millennials place on creating and maintaining positive online interactions, social media has also become a means of expressing the extent of personal relationships. For example in 2004, the social media site MySpace added a Top 8 feature, which allowed for teens to manually choose their top 8 friends. They were soon after forced to remove the display featu re because it became an anxiety-inducing decision for many young Millennials (Meyer, 2016). Other popular social media terms such as, friending, Facebook official, likes, or favorites are visible, quantitative expressions of the positive reinforcement Millennials feel toward a person, event, or opinion. A study conducted by researchers at UCLA explored the effects of social media likes on the Millennial brain. A like is a click made by a social media user that symbolizes an instant, outward expression of approval. The study found that, regardless of the basic qualities of the photo or post, Millennials revealed more excitement in the reward center of their brains when they viewed a photo or post with many likes (Meyer, 2016). Therefore, likes symbolize augmented social proof and acceptance, representing the peer pressure Millennials feel to remain socially intriguing. unrivalled of the to the highest degree widespread instances of social proof gained from social media is the numbe r of retweets, favorites, likes, or shares received on a photo or post (Tate, 2018). Social proof can be used to explain why Millennials worry about straying too far from the pack, or looking inadequate to comparison to their peers. As mentioned previously, Millennials crave group acceptance more than they desire individuality. Therefore, social media serves as a resemblance of what the group is doing, allowing for Millennials to learn what is deemed socially acceptable, and then find comfort in the recognition that their actions are normal (Tate, 2018). Adriana Manago, an assistantprofessor of psychology at UC Santa Cruz who studies the social mediatendencies of adolescents and young adults, explains that Millennials are usingsocial media to establish their own agency and manage their relationships withtheir peers (Witte, 2017). Manago theorizes that Millennials use technology asa tool used to navigate their way into adulthood, explaining that young adultsturn to social media to ex plore their place in the world around them (Witte,2017). Therefore, social media helps Millennials feel more connected within theoffline world as it provides a space for identity exploration, bridging the gapbetween the offline and online worlds. The online realm provides Millennials aplatform to manage social contexts by practicing and participating in specificsocial behaviors without the pressure of visibly or physically backing theiractions or remarks. When Millennials participate in social media activities,they are experiencing a context collapse, or the requirement to accuratelyperform varying social behaviors in order to appropriately manage differentsocial media contexts (Boyd, 2014). For example, a Facebook post and anInstagram post may be the same message, however differ in the deliverydepending on the platforms audience or following. In other words, eachdistinct audience requires a different social behavior in order to interpretthe post appropriately. Context collapse, as obstinate through variousstudies, is more complex for adolescent Millennials as they navigate an intenseperiod of self-definition (Boyd, 2014). Millennials, therefore, have inventedstrategies to help them manage the merging of various social contexts, relyingheavily on the approval of specific audience members on each social mediaplatform they maintain. Boyd (2014) in her book, Its Complicated The Social Lives of Networked Teens, found thatFacebook is considered to be the most diverse in connections with audiencemembers ranging from online seniors (65 or older) regularly operating theirFacebook page to employers actively searching profiles for potential employees.Twitter was found to represent connections with special interests such as news,celebrities, musicians, or companies, and less with friends and family members(Boyd, 2014). Instagram was reported to be the most entertainment-oriented platform,primarily used for sharing photos of experiences or interests with friends andfollo wers (Boyd, 2014). Therefore, Millennials decision on where to sharephotos or posts depends on the interests of the audience members following eachplatform, as well as the visibility of the post in order to render the mostsocial interaction possible. When asked where to post a photo, one Millennialresponded, It depends on the quality of the picture, and who would see it. OnFacebook itd be primarily family, because those are the people who payattention to my page. On Twitter, depending on the time of day, it might not beseen at all. (Boyd, 2014). Therefore, the stress of managing multipleaudiences across several social contexts puts pressure on Millennials to invariably maintain an acceptable social media presence. Social Media and its Relationship to the Millennial Generations FinancesAs discussed previously, the moneyhabits of Millennials allude to the potential for a better financial positionthan previous generations, as Millennials instinctively understand thenecessity to save. M illennials continue to take strides toward a strong,self-sufficient financial future, with 58 percent prioritizing saving forretirement as an essential necessity (Riley, 2018). Another 71 percent ofMillennials reported using tricks encouraged by financial advisors to set asidemoney in an effort to achieve specific monetary goals, while an additional 41percent said they always allocated money into their savings accounts each month(Riley, 2018). The Generations Ahead study conducted by the Allianz LifeInsurance Company (2018) found that 77 percent of Millennials feel financiallyconfident due to their ability to consciously save, a drastic differencecompared to only 64 percent of Generation X respondents when asked the samequestion. Similar to the Allianz Life Insurance study, Generations Ahead, theWells Fargo Millennial Study also found that seven in ten Millennials, or 69percent, feel more financially stable than others in their own generation, and68 percent see themselves with a bet ter standard of living before retirementthan previous generations. Therefore, it can be concluded that Millennialsreflect a higher financial self-image when comparing themselves to their owngenerations rather than to generations prior. This indicates that Millennialsmay be more inclined to spend recklessly in an effort to showcase falsifiedhigh financial stature, even if it is financed primarily through debtaccumulation. Additionally, the Wells Fargo study concluded that 84 percent ofMillennials feel they have the skills to be successful in their chosen careers,and another 78 percent confidently believe if they were to lose their job, theycould find a comparable career with ease. Therefore, as Millennials feel moresuccessful with their financial planning through innovative ways to get onfinancial strength, they are becoming more confident in their abilities tospend wisely. However, Paul Kelash, vice president of communication andconsumer insights for Allianz Life, explains, The mos t significant finding wasthe dichotomy between Millennials ability to be successful in financialplanning yet so vulnerable to social media and spending beyond their means.Therefore, the pressure social media places on Millennials to maintain anappropriate presence contradicts Millennials appreciation for frugal spending,thus proving the power social media maintains over the actions and decisions ofthe Millennial generation. consort to statistics andconclusions explained previously, an argument can be made that social media isinfluencing Millennial financial growth by indirectly encouraging them to spendrecklessly. Contradicting prior statistical conclusions that the Millennialgeneration takes the financial planning lead when compared to other priorgenerations, the Allianz Life Insurance Company reports that 63 percent ofMillennials consider themselves spenders, while 51 percent of Generation Xersand only 36 percent of Baby Boomers would consider themselves spenders (Riley,2018). Th e following statistics help support the argument that Millennialfinancial growth is stunted by their exposure to social media. According to theAllianz Life Insurance Companys Generations Ahead study, 88 percent ofrespondents believe social media creates more of a list to compare theirlifestyles and wealth to others. An additional 57 percent said they spend moneythey had not yet budgeted for due to the influences from what they viewed onsocial media (Riley, 2018). Kelash explains that, Millennials are moreimmersed in social media than past generations. Therefore, they could be swayedmore than other cohorts by social media and the temptation to spend beyondtheir means. That could hurt them over the long term if they arent careful. According to a 2013 survey conductedby Eventbrite, when it comes to money, Millennials value experiences overmaterial items. Eventbrites study found that the Millennial generation notonly values experiences, but is increasingly spending time and money on ev entsin an effort to live a meaningful, happy life. Through statistical evidence, itcan be concluded that happiness for the Millennial generation cannot be gainedthrough a lifetime of accumulated material possessions. Rather, a happy life is decided by the ability to create, capture and share memories in an effort togain the recognition of social peers. Approximately 78 percent of Millennialschoose to spend money on desirable experiences or events, with 55 percent ofMillennials saying they are spending more on events and live experiences thanever before (Eventbrite, 2013). Therefore, Millennials crave more experiences,increasing the demand for real-life interactions. With the emphasis placed ongathering experiences rather than material goods, Millennial spending issignificantly different when compared to the spending habits of generationsprior. More than 8 in 10 Millennial respondents, approximately 82 percent, saidthey attended or participated in a variety of live experiences over t he pastyear, including parties, concerts, festivals, or themed sporting events(Eventbrite, 2013). Further, 72 percent of these respondents even said theywould like to increase their spending on experiences rather than material itemsover the next year, alluding to the idea that philistinism will be replaced bythe demand for real-life experiences (Eventbrite, 2013). Millennials alsoexplained that these real-life experiences help shape their identity, holdingmore social currency than physical items as these events create eonianmemories. Almost 8 in 10, or 77 percent, of Millennials say their best memoriesare from an event or live experience they attended or participated in(Eventbrite, 2013). Interestingly enough, however, Millennials also explainthat capturing these events on photo sharing apps like Instagram and Snapchatactually makes the experience more enjoyable. 60 percent of Millennials explainthat experiences are better shared through social media platforms (Eventbrite,2013). 6 9 percent of respondents also explained that attending these liveexperiences makes them feel more connected to other people, the community andthe world (Eventbrite, 2013). Therefore, just attending the live event does notconstitute the entire experience for Millennials. Millennials, instead,finalize their overall opinion of an event based on their ability to share andgain the approval of others via various social media platforms as research hasproven that Millennials tweet, share and post more about the events they attendthan any other generation. One explanation for this necessityto spend money on life experiences comes from Millennials constant feeling ofFOMO. Millennials are often critiqued for reckless spending and impulsivepurchases due to what they describe as FOMO, or the Fear Of Missing Out on asituation (PR Newswire, 2016). Generated by the Millennial generationscreative social media vocabulary, FOMO is a state of social anxiety anindividual feels when peers or friends are enjoying activities without them,and is often triggered by social media postings (Meyer, 2016). The Allianz Lifesurvey found that 55 percent of Millennials reported experiencing FOMO, whileanother 61 percent felt inadequate about their own lives and what they have dueto the attention other users receive on social media recognized through likesor favorites (Riley, 2018). As previous statistics have proven,portraying a successful adult life on social media heavily influencesMillennials decisions to spend recklessly. Millennials have been criticizedfor diving headfirst into financial situations, assuming responsibilitieswithout proper financial support. Shannon Lee Simmons, a Toronto financialplanner for many Millennials, explains, Those people with the new rear onInstagram? Theyre miserable. (PR Newswire, 2016). Being a Millennial herself,Simmons understands the pressure to live an interesting life in order to bedeemed as attractive or intriguing on social media platforms. Simmons ad visesher clients to prioritize debt repayment, live only within the boundaries theirpaychecks allow, and continually put money into a savings account each month.However, most Millennials are not honest with themselves about the cost ofliving these extravagant, Instagram lifestyles. An online survey conducted by GoBanking found that Millennials find it difficult to resist the urge to spendrecklessly, paying for social events by relying on credit cards, borrowing fromfriends or family members, or sometimes even neglecting to pay bills.Additionally, as a Millennial myself, I argue that because debt has become anexpected part of consumer spending and an innate aspect of the Millennialsfinancial experience, Millennials are more likely to spend money they do nothave with the expectation of paying it off in the future. I believe this islargely due to Millennial optimism, or the confidence Millennials feelregarding many aspects of their personal lives such as the confidence theyfeel toward their expected success in their chosen career paths and,therefore, help to lower the stress surrounding debt accumulation. BecauseMillennials have a tendency to impulsively spend, however, I make the argumentthat financial optimism is categorized as wishful thinking, or a means ofresolving conflicts between humanity and desire through pleasing imaginationinstead of recognizing hard evidence and rationality, and remains financiallyunsupported. The combination of reckless, social media-encouraged spending,debt accumulation, and wishful thinking reveals the immature side of Millennialspending, a side driven by the pressures to create and maintain an intriguingimage within the immense, extremely competitive social realm. Therefore, socialmedia has influenced the excited spending of the Millennial generation,bombarding them with information on what their friends and followers are doingto such an extent that their prior understanding for the necessity to practiceconscious saving is pu shed out of mind. Further Discussion / Conclusion Through the literature reviews analysisof the background of Millennials financial self-esteem and potential reasonswhy they resemble poor financial stature, it can be declared that theMillennial generation suffers from a lifetime of financial experiences causingpredetermined feelings towards practicing frugal spending habits as arequirement for future financial wellbeing. However, as the content analysisprovides expertise on how social media has influenced the way Millennials spendtheir money, convincing them of the necessity to achieve substantial socialacceptance physically represented through their peers likes and favorites,an argument can be made and support that emphasizes the hypothesis that socialmedia has negatively affected millennials financial reflection as attendinglive events only increases their debt accumulated. 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