GoHenry 2022 Youth Economy Report Reveals New Earning Habits of Kids in the U.S.
Gen Z and Gen Alpha are finding innovative ways to earn more money, such as through online gaming, selling things online and investing in cryptocurrency
One in four kids aspire to start their own business
NEW YORK–(BUSINESS WIRE)–GoHenry, a pioneer in kids’ debit cards, money management, and financial education, today released their 2022 Youth Economy Report concentrated on earnings, showing kids and teens in the U.S. are focused on entrepreneurship, choosing to earn extra money through next-gen pursuits such as online gaming and investing in cryptocurrency.
US kids earned a total of $26 billion in 2021*, which includes weekly allowances, paid tasks completed and gifts. Average weekly earnings are $11.17, up 16% from the previous year and the average weekly allowance is $10.48. However, slightly over one-third (34%) of kids say they don’t earn enough allowance and believe they should be earning, on average, an additional $55 per month**. (See: Methodology for data sources and citations)
The majority (78%)** of kids say it’s important to earn their own money, and are taking matters into their own hands. In addition to part-time jobs, paid tasks, allowances, and babysitting, kids made money in these top enterprising ways:
- Pet-sitting and dog walking (41%)
- Online gaming (35%)
- Selling things online (34%)
- Social media influencer (29%)
- Investing / trading stocks (28%)
- Content creator (28%)
- Investing in cryptocurrency (27%).
The second US Youth Economy Report also reveals that the amount of money that young people earned from individual paid chores, which can be set as tasks and managed in the GoHenry app, continues to increase. Paid tasks are an introduction to the world of work and shape kids’ view of finances.
US kids earned $3.1 billion from completing paid tasks in 2021***, up 8% from the previous year. To boost their earnings potential, kids should continue to focus on the five best-paid tasks per week:
- Homework ($1.93)
- Tidying their room ($1.67)
- Vacuuming ($1.55)
- Loading and unloading the dishwasher ($1.23)
- Putting their clothes away ($1.05)
“In this robust economy, kids are looking at entrepreneurial ways to support their savings and spending goals. We see Gen Z and Gen Alpha taking on an increasing number of paid tasks and developing their business savviness in order to increase their earning potential. However, they earn a dollar, understanding the value of money is vital to a strong foundation of financial education. At GoHenry, our goal is to ensure that once they earn, they are confident in managing a budget, setting savings aside, and spending responsibly – and kids agree. Over 80% say having good money management skills will help them in their future career,” said Dean Brauer, Co-Founder and President of GoHenry.
Changing earning habits could also impact the type of jobs kids take in the future. Almost half (47%)** of kids say their top priority is doing something they’re passionate about while also earning a high salary. Kids and teens identified their top 10 preferred professions**:
- IT / software / app developer / gaming
- Healthcare
- Engineer
- Finance
- Food / restaurant / cafe
- Vet
- Social media influencer
- Beauty
- Graphic design
- Teacher / education
The report states that a quarter of young people (25%)** now aspire to start their own business, rather than work for a corporation or startup. As such, their first experience of work is increasingly likely to involve being their own boss.
The Youth Economy Report features data from over 52,000 US GoHenry members who opted in from January 1, 2021 to October 31, 2021. GoHenry’s full Youth Economy Report is available for download at gohenry.com.
Data and Methodology
Unless stated otherwise, data was taken from a sample size of 52,068 GoHenry members aged 6-18 years old who were active on their accounts from 1st Jan 2021 – 31 October 2021.
* Based on 52,068 active GoHenry users in the US, between 1 January and 31 October, 2021 Upweighting was completed by calculating the total earnings per GoHenry member (who received an earning through allowance, tasks, or giftlinks) and multiplying that by the total population of children aged 6-18 in the US. These population estimates were drawn from the US Census Bureau and UN Department of Social and Economic Affairs (2019).
** Consumer survey was conducted by Censuswide in December 2021 with 2,007 children (age 6-18) in the US.
*** Based on 52,068 active GoHenry users in the US, between 1 January and 31 October, 2021. Upweighting was completed by calculating the task earnings per GoHenry member (who used the feature) and multiplying that by the total population of children aged 6-18 in the US. These population estimates were drawn from the US Census Bureau and UN Department of Social and Economic Affairs (2019).
About GoHenry
Launched in 2012, GoHenry is a financial technology company with a mission to make every kid smart with money. The GoHenry debit card and financial learning app is designed for kids ages 6 – 18. Parent and child apps provide tools to help kids learn about money by earning, saving, spending responsibly, giving, and more, all with parental oversight. Plus, the GoHenry app includes in-app money lessons called Money Missions. Developed with teachers & financial education experts, missions follow National Standards in K-12 Personal Finance Education. With Money Missions, kids can watch videos, take quizzes, earn points & badges while gaining money skills for life. Missions cover money basics, investing, saving, compound interest, borrowing, giving, and much more.
GoHenry is inspiring a global movement of over 2 million members who fiercely believe that being good with money is a vital life skill. For more information, visit GoHenry.com or follow @gohenry on Twitter, Facebook, and Instagram.
In the US the GoHenry card is issued by Community Federal Saving Bank, member FDIC, pursuant to license by Mastercard International.
Contacts
Gregory Papajohn
917-287-3626
[email protected]
