Recent studies have shown that millennials are increasingly turning to budgeting as a means to manage their various forms of debt. When it comes to prioritizing their expenses, vacations and travel often take a back seat. A survey conducted by DepositAccounts revealed that a significant number of millennials are opting out of vacations due to financial constraints. While everyone desires a break from their routine, millennials are finding it challenging to allocate resources for leisure travel. The survey highlighted that a majority of millennials had to forgo vacations this year due to financial limitations, contrasting with only 35% of baby boomers and just under half of Generation Z who faced similar challenges.
The data suggests that the younger demographic, excluding Gen Z, is less inclined to take vacations, predominantly due to cost considerations. While there are budget-friendly travel options available, vacations usually come with a hefty price tag. The survey further indicated that 34% of millennials have accumulated vacation-related debt, with approximately 10% currently being in debt due to such expenses. With financial burdens in mind, it is evident that cost plays a critical role in the vacation planning process for 44.4% of millennials. Additionally, factors such as location, local activities, and travel duration are deemed crucial considerations. Overall, Americans, including millennials, are increasingly adopting a more frugal approach to vacations, with 46% stating that they spend less than one thousand dollars on leisure trips.
