July 7, 2026, 8:01 a.m. ET<\/p>\n
The trip made it out of the group chat. But for some Gen Zers<\/a>, the hardest part comes after the plane has landed back home, when the Venmo requests go out.\u00a0<\/p>\n A June 30 study<\/a> from Zelle found that 76% of Gen Z consumers who have paid upfront for a group expense say they weren\u2019t paid back in full. As Gen Z<\/a>, the cohort born between 1997 and 2012, emerges as a major spender on group travel and experiences, more young people are fronting costs for friends. But many are struggling to settle up afterward, with some reporting the experience has damaged their relationships<\/a> or pushed them into debt.<\/p>\n \u201cMoney is already so complex and complicated, and you are putting a level of trust and faith in your friends to pay you back,\u201d says Aja Evans, a licensed mental health counselor and financial therapist<\/a>. \u201cTo know that you weren\u2019t paid back\u2026 it’s just a really difficult strain on the friendship.\u201d<\/p>\n Gen Z is \u2018financial flexing.\u2019 Why they\u2019re going broke to look successful.<\/a>How avoiding to repay expenses can strain friendships<\/p>\n Gen Z, saddled with student loans and entering a slowing U.S. labor market amid skyrocketing costs of living, is increasingly anxious<\/a> about their financial situation. They\u2019re also seeing a stream of social media posts about living in luxury high rises in big cities, dining at Michelin restaurants and jetting to expensive destinations.<\/p>\n USA TODAY Shopping: Shop sales in tech, home, fashion, beauty & more curated by our editors.<\/a><\/p>\n Evans says that means more young people feel pressure to spend to fit in, whether that\u2019s saying yes to expensive bachelorette parties, last-minute concert tickets or big dinners. Nearly half of respondents to the Zelle survey say they have gone into debt to cover group expenses.\u00a0<\/p>\n \u201cCan you actually afford this, or does this feel like more of a flex to other people?\u201d Evans says. \u201cThere’s a lot of pressure for people to present themselves in ways that their bank account might not be able to cash.\u201d<\/p>\n Vacationing together but tripping over spending? How to stay friends on different budgets.<\/a><\/p>\n Evans says going into debt over these experiences isn’t worth the toll it takes on friendships.<\/p>\n \u201cIf you know somebody else owes you money, it’s going to be really difficult to see that they went to the latest and greatest hotel or restaurant,\u201d Evans says.\u00a0<\/p>\n Among Gen Zers who fronted money and weren\u2019t fully repaid, 55% say it damaged a relationship or caused tension, and 14% say they ended a friendship or relationship over the situation.<\/p>\n Today, a growing number of tools aim to make it easier to split costs. There are peer-to-peer payment services like Zelle, Venmo and Cash App, which allow users to directly transfer from bank account to bank account, and apps like Tab, Splitwise and Divvy, which help users track and split shared expenses.<\/p>\n Who planned the trip? TikTok trend reveals the unsung heroes of vacation planning<\/a><\/p>\n But that hasn\u2019t made social avoidance around payment any less awkward when it comes to the frustrated group chat texts, Venmo reminders and passive-aggressive comments about settling up. The report identifies \u201cpayment avoidance\u201d as a prominent social behavior, finding that 20% of Gen Z consumers have canceled plans and muted or ignored texts to delay or avoid repayment.<\/p>\n This avoidance, Evans says, tarnishes trust.<\/p>\n \u201cSay, \u2018hey, this may take me a long time, but I do promise I’m going to repay you,\u2019\u201d Evans says. \u201cBeing honest and putting it out front, while very vulnerable, can actually bring your relationship closer together.\u201d\u00a0<\/p>\n