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50 | M REPORT O R I G I NAT I O N S E R V I C I N G DATA G O V E R N M E N T S E C O N DA R Y M A R K E T THE LATEST DATA Gen Z Reacts to Inflation by Seeking Additional Incomes A Bank of America survey revealed that as inflation persists, an estimated 75% of young adults are seeking more ways to earn additional income. L ike most Americans, Gen Z is looking to establish its financial footing amid record-high mortgage rates and nationwide inflation, as the economic environment poses new challenges in achieving its financial goals. This is according to research published by Bank of America's Better Money Habits, exploring this generation's (ages 18 to 25) distinct approach to money—including their financial priorities, behaviors, and chal- lenges. With Gen Z being far more diverse than previous generations, new research also examines ways in which race, ethnicity, and gen- der may influence their financial priorities and challenges. According to an estimated 73% of Gen Z, the current economic environment has made it more challenging to save. They report- ed feeling that inflation has made it harder to save for financial goals (59%) and paying down debt (43%) has created more financial stress (56%) within their lives. Some 40% also said surging rents or home prices have made it challenging to afford day-to- day necessities. According to The Bank of America Institute, younger consumers are getting squeezed the most by higher rent inflation, with median rent pay- ments up 16% year over year in July for Gen Z, compared to just 3% for baby boomers. Currently, 75% of Gen Z are taking or considering steps to earn additional income including: • Changing jobs (34%) • Turning a passion into a source of income (31%) • Taking on a second job (26%) • Taking on a job they don't like (23%) When it comes to success at work and in life, Gen Z is driven by the desire to achieve financial peace of mind (74%) and to comfortably afford the things they want. "Gen Z is ambitious and enterprising, and taking positive actions as they join the workforce and make some of their first financial and career-driven deci- sions," said Christine Channels, Head of Community Banking and Consumer Governance at Bank of America. "Current economic and inflationary headwinds have created added challenges for many."