Millennials and Gen-Zers are Victims of FTMO—Here’s What That Means

Hypothetical FOMO situations once haunted us, but with the current state of the job market, price gouging, and the rising gap between wages and the cost of goods, a new and far more dire phenomenon is taking FOMO’s place. FTMO, Forced to Miss Out, refers to how millions of Americans are forced to miss key moments in life—particularly, social or life events. Birthday celebrations, drinks with friends, trips with loved ones, and holiday dinners and gift exchanges are basically out of the question—because they’re living paycheck to paycheck.

Chime, a banking platform, recently released a survey with key figures highlighting how Gen Z and Millennials in particular have become the “missing out” generations. In the past six months, over 50 percent of Millennials and Gen Z have missed out on something they wanted—or needed—because they were waiting for their next paycheck. With the holidays in full tow, this only gets exacerbated; what’s left in our bank accounts isn’t enough for flights home or gifts, so we’re FTMO yet again.

To better understand the phenomenon, how it’s impacting people in the short and long term, and what we can do to lessen or avoid FTMO altogether as the holidays approach, we connected with Chime’s Chief Experience Officer, Janelle Sallenave, who shared her expert insight and advice.

MEET THE EXPERT

Janelle Sallenave, Chief Experience Officer

As the Chief Experience Officer, Janelle serves on Chime’s executive team and is responsible for the member experience. She oversees the operations, support, and customer/member experience organizations. Together, they obsess about delivering high quality experiences for members that reflects Chime’s mission: to make financial health a reality for everyone.

What is FTMO?

FOMO—fear of missing out—rose in popularity in the 2010s as a trendy buzzword for describing the envy that blooms when we witness others having cool experiences. The term is heavily intertwined with social media and how we feel when we see people travel, attend events, or own things we don’t currently have access to for one reason or another. FTMO is a step above FOMO: We’re no longer afraid of missing out; we’re actively missing out.

“Over 50 percent of Millennials and Gen Z have missed out on something they wanted—or needed—because they were waiting for their next paycheck.”

FTMO is what happens when FOMO becomes a reality, according to Sallenave, who helped coin the term. It isn’t just related to the low wages reflected in our paychecks either—outdated pay cycles play a big part in this. Having to wait two weeks (sometimes even longer for contract workers and freelancers) to receive pay is a major factor in being FTMO on things. Long stretches between pay make unexpected expenses difficult to manage, and saving is nearly impossible if you have to dip into your financial reserves to make it to the next payday. Plus, you may have more expensive bills during certain times of the month, which exacerbates the issue of stretching your check to cover costs and having little left over.

The picture of Millennial and Gen Z financial struggles becomes even clearer when you factor in crushing student loan debt, skyrocketing rent prices, and inflated grocery costs, to name just a few pain points. The younger generations are so focused on simply paying their bills that many are forced to miss out on things like Taylor Swift’s Eras tour, the premiere of Wicked, weekend trips with significant others, and even purchasing Christmas gifts for friends and family. Combine all of these factors, and it’s no wonder why we are RSVPing “No” more than ever before.

How FTMO affects us

If you’re living paycheck to paycheck despite budgeting, cutting monthly expenses, declining invitations to go out with friends and family, and coming up with homemade gifts for the holidays, you’re not alone. Chime’s FTMO report found that 43 percent of Americans were FTMO this year because they didn’t have the money to spend.

“FTMO is a step above FOMO: We’re no longer afraid of missing out; we’re actively missing out.”

Unfortunately, life doesn’t wait for payday. And that can make matters worse for your wallet, especially this time of year. Being forced to wait until your paycheck rolls in may mean you have to book a last-minute (read: more expensive) flight home. In addition to this, you might miss out on deals for gifts. This can cause you to spend more than you would have otherwise—or miss out completely.

FTMO is more than simply being unable to afford things—the phenomenon negatively impacts mental health and social relationships. When we’re forced to pick and choose activities or purchases, we often feel socially disconnected. We also can feel disheartened by the limited reach of our paychecks. These feelings are intensified at certain times of the year, like the holidays, when we want to do something special for our loved ones but can’t afford to.

How to combat FTMO this season and beyond

While we’re largely along for the ride when it comes to the industry standard for wages, the cost of living, and how often we get paid, Sallenave suggested a few tips for cultivating a little more breathing room. Plus, we’re adding a few helpful strategies we’ve learned along the way, too.

Consider advanced pay programs

Restructuring pay cycles is out of our control, as that’s something employers must commit to for the benefit of workers. However, products like Chime’s MyPay program give people financial wiggle room. MyPay allows members to access up to $500 of their pay before payday. Unlike payday advance loans, there are no interest, mandatory fees, or credit checks. Some regional and national banks, like Huntington Bank and Fifth Third Bank, offer similar programs to their members.

With the holidays approaching, many Americans struggle to manage finances while trying to set aside money for dinners, social gatherings, gifts, and other seasonal expenses. No-strings-attached advanced pay programs are hugely beneficial for those wanting to give their loved ones presents and accept invitations to go out without running their accounts down to $0, incurring credit card debt, and feeling so stressed about money that they can’t enjoy the occasion.

Pick up a seasonal job

The holidays are a unique time of year because our spending increases due to seasonal expenses like gifts, travel, and dinner gatherings. If you’re not able to cut costs elsewhere to make room in your budget, consider picking up a seasonal job. Retail stores are always hiring extra help around the holidays. Tourist hotspots such as hotels, resorts, and attractions like ice skating rinks and ski lodges are also bustling right now and could use an extra hand. You may have to sacrifice some free time to make a seasonal job work, but the additional income can help you not miss out on holiday plans with your friends and family.

“You might be forced to miss out on some things, but it doesn’t mean you can’t create other ways to celebrate.”

Find ways to cultivate joy for free

With so many people unable to participate in consumerism due to heightened costs, we’re also seeing a shift in how younger people spend their free time, from enjoying “grandma” hobbies to embracing “no-spend” weekends. Finding ways to cultivate joy without spending money is key to finding happiness in our increasingly capitalistic society, especially right now.

It may feel like you have to spend money to cultivate joy during the holidays, but there are tons of ways to celebrate the season for free, or close to it. Have a holiday movie marathon, host a Christmas cookies and crafts night with friends, or go on a drive or walk to look at holiday lights and decorations. You might be forced to miss out on some things, but it doesn’t mean you can’t create other ways to celebrate.

Plan a trip for later in the year

If you can’t compete with inflated holiday travel prices and are being forced to miss out on Thanksgiving, Christmas, Hanukkah, and other end-of-year holidays with loved ones, plan a trip for when travel slows down. Lower-priced seasons, like the depths of January into February, offer much more reasonable prices for flights and hotels in comparison to peak season rates. Planning a trip will soothe the sting of FTMO, give you something to look forward to, and ensure you will still see your family or friends even if you can’t right now.

Remember you’re not alone

Experiencing FTMO sucks—there’s no sugar-coating it. Take comfort in the fact that you’re experiencing it alongside over half of your Millennial and Gen Z peers. And just because you can’t celebrate in the ways you might want to doesn’t mean you can’t celebrate at all. With Sallenave’s advice and these tips, you can limit your fear of being forced to miss out and better strategize your financial plan in the coming weeks—and beyond.

ABOUT THE AUTHOR

Alyssa Davis, Contributing Writer

Alyssa Davis is a freelance writer specializing in home, lifestyle, beauty, and entertainment content. She studied English at Indiana University and has since produced articles for publications including SheKnows, Architectural Digest, and Well+Good, to name a few.