August 17th, 2021
SPRINGFIELD, Mass., Aug. 17, 2021 — With summer in full swing, Americans are increasing their spending from last summer and preparing for new financial realities according to new research from Massachusetts Mutual Life Insurance Company (MassMutual).
Experiencing financial impacts from the rise in social gatherings and re-openings, Americans are spending an average of $765 more per month compared to the summer of 2020, with Millennials and Gen Z reporting an average of spending $1,016 more per month compared to last summer. The top experience cited: dining out (36%) followed by travel or vacation (35%).
At the same time, 41% of office workers, including half of Millennials (52%), are worried about the financial costs associated with return to office when the time occurs.
FOMO vs. JOMO
As social gatherings become more frequent, more than half (51%) of Americans are feeling the effects of FOMO (fear of missing out). However, emerging from the pandemic and routine time alone, the Index finds that JOMO (joy of missing out) is outpacing FOMO as the sentiment even more likely to guide financial decisions. In fact, two-thirds (66%) also admit they experience JOMO (eg: feeling content with their own pursuits and activities) significantly more than those who report feeling FOMO. Additionally:
Return to Work and School
The Index also finds that as Americans start to think about the return to in-person work and school, many are preparing for more expenses. When given a list of stressors related to returning to the office, nearly a quarter (23%) of office workers cite an increase in expenses. Other key findings:
“As Americans navigate the constantly evolving COVID environment, they’re also recalibrating their financial lives to prepare for new costs, shifting priorities and changes to their personal and professional lives,” said Mike Fanning, head of MassMutual US. “During uncertain times, we’re here to help people plan ahead to make financial security a constant for themselves and their loved ones.”
The MassMutual Consumer Spending & Saving Index tracks financial outlooks and behaviors in a changing economic environment. It offers an in-depth snapshot of people’s saving and spending behaviors and examines outlooks and attitudes being tapped to navigate the financial impacts of the pandemic and the changing state of the economy. The MassMutual Consumer Spending & Saving Index was conducted online from July 21-28, 2021, by PSB Insights using a nationally representative sample of 1,000 Americans and an oversample of 250 U.S. office workers. Results are nationally representative of age, gender, race, ethnicity and education. For full research results, visit massmutual.com/2021SummerIndex.
MassMutual is a leading mutual life insurance company that is run for the benefit of its members and participating policyowners. Founded in 1851, the company has been continually guided by one consistent purpose: we help people secure their future and protect the ones they love. With a focus on delivering long-term value, MassMutual offers a wide range of protection, accumulation, wealth management and retirement products and services. For more information, visit www.massmutual.com.