The Fear Of Missing Out Is Making Millennials Spend More Money Than They Should, Here's How

We are all familiar with the fear of missing out, popularly known as FOMO.

Just scroll through your Instagram or Snapchat stories look at your friends having a hell lot of fun without you. This very feeling is FOMO.

But what happens when your friends invite you out and you really can't afford it? Well, you go anyway. We all would choose to get bankrupt but not miss out on a party. Yes, really.

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According to a new survey from Credit Karma, nearly 40 per cent of millennials are going into debt to avoid FOMO. Why? Because we can't say no to our friends or even be honest with them about being broke because of this illogical idea to never miss out on a good time. Researchers surveyed 1,045 people and found that 27 per cent of millennials are uncomfortable telling friends they can't afford something.

The real problem is that we can't stand the thought of what's happening at that party without us. We would rather have to struggle for cash at the end of the month than miss this one night of entertainment. Also, the same survey has reported that almost 56% of people also suffer from anxiety produced entirely by FOMO.

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That's why it's important to get real about FOMO and learn what you can do to not drive yourself towards bankruptcy. And we're here to help!

1. Understand this: FOMO hugely impacts your finances.

Please read and then re-read this line until it's engraved in your head.

The problem is that you don't even know that a large part of your pay-check goes in just chilling with your friends. Think weekend getaways, brunch at the most happening restaurant, attending concerts in different cities are enough to make you drop big bucks. FOMO can easily lead to debt because in order to stave the anxiety that comes from your FOMO, you'll do just about anything, including blowing through your income.

2. Suggest cheaper alternatives.

If you really can't say no to a social invite, then why don't you suggest cheaper alternatives. If there's a dinner plan then you can probably suggest a cheaper place or if you are going out clubbing, instead of buying drinks at the club, just pre-drink at home. Instead of going to concerts, choose low budget film-screenings. We bet all of these would look really good on Instagram too!

3. Create an outings account.

If you love going out and don't want FOMO to get the best of you, then it's advised to keep aside money specifically for going out. By having a separate amount for social spending, I can also keep better track of how much is going out each month.

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4. Learn to say no.

Instead of accepting every social obligation, why not say no to a few and sit at home and relax. The next time you step out you will be treated way better because not only will you be treated as more exclusive but also you'll be richer.

5. Plan for the future.

When you stop going out, you will see you have a lot of money. That money can be saved for your retirement or buying a house or a car. It's your money, so spend wisely. When you stop going out, you will see you have a lot of money. That money can be saved for your retirement or buying a house or a car. It's your money, so spend wisely.