Younger generations are way better at this money move than their parents

Younger generations are setting a critical financial example for their children – one that was taboo for older generations.

Roughly 62 percent of Gen Z adults said money was discussed in their homes compared to 49 percent of Baby Boomers who said the same, according to a survey published Tuesday by U.S. Bank and global intelligence firm Morning Consult.

“Today’s parents are the first generation where a majority are choosing to have open conversations with their kids about money – and at an early age,” U.S. Bank Head of Consumer and Business Banking Products Arijit Roy said in a press release about the study.

Millennials raising Gen Z kids were around 27 percent more likely to talk about money than Boomers’ parents, the Silent Generation.

That transparency is a significant factor in kids’ knowledge about finances, U.S. Bank said – 88 percent said their top money influence is seeing how their parents engage with money.

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While older generations may find it hard to talk about money with their kids, all generations are united in their belief that housing costs (76 percent of respondents) and household income (75 percent) are the two hardest topics to discuss.

Meanwhile, 88 percent of survey participants said entertainment spending was the easiest topic to bring up, followed by vacations and activities/sports (85 percent).

The study confirms recent findings about financial communication by generation.

An April study from insurance firm Nationwide found that 60 percent of millennials with financial professionals would welcome their expert to family money discussions compared to just 16 percent of baby boomers and the Silent Generation.

Not only does a lack of communication leave kids with less knowledge about finances, but it can also cause issues when boomers do their estate planning, the study found.

“Among Baby Boomers, 64% are actively transferring or planning to transfer wealth in the future,” the study said. “At the same time, this group continues to age, making the need for family alignment around their wishes and needs an issue that could be more urgent than some recognize.”

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Fear seems to be the main factor behind financial conversations. Americans would rather talk about politics and death than their finances, a 2022 survey from financial services company Empower found.

The core reasons for avoiding money conversations – no matter the generation – may have to do with deep emotions and patterns related to finances, an October 2025 article from Psychology Today pointed out.

“Many people grow up with unspoken rules such as, ‘We don’t talk about money,’ which carry into adulthood,” mental health expert Joyce Marter wrote. “Add layers of shame, past financial trauma, or differences in values, and it’s no surprise that money talks can quickly become tense or avoidant.”