Boomers and Gen X think using cash still pays off, but Gen Z calls this old-school money habit ‘cringe’

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RegExp("[?&]notifications=1(&|#|$)");"desktop"===y&&i&&b.test(window.location.search)&&(i.checked=!0)};ge("ybar-mod-notification",(function(e){var t={isUH3:"crunch"===e.getConfig().ytheme,notifContainer:document.getElementById("notification-container"),notifBadge:document.getElementById("notif-badge"),notifMenu:document.getElementById("ybarNotificationMenu"),notifMenuOpener:document.querySelector("#ybarNotificationMenu + label"),notifDropdown:document.getElementById("notifDropdownContainer"),tooltipContainer:document.querySelector(".".concat($n)),notifLabel:document.querySelector(".".concat(Xn))};t.notifDropdown&&so(e,t)}))}()}};]]>Emma Caplan-FisherSun, November 16, 2025 at 1:00 PM GMT+1 6 min readPhysical cash may not be the default payment method for most Americans, but the generational divide over whether to use it reveals fundamental differences in how we manage money in 2025.According to a recent Cash App survey of more than 2,000 U.S. adults (1), nearly a third of Gen Z respondents consider people who pay with cash to be "out of touch" or even "cringe." But baby boomers and those in Gen X believe there are legitimate benefits to carrying cash in your wallet.Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's howDave Ramsey warns nearly 50% of Americans are making 1 big Social Security mistake — here’s what it is and 3 simple steps to fix it ASAPThe survey revealed a stark split in how different age groups perceive spending.Nearly 55% of Gen Z respondents said they're "more likely to spend without thinking” when using cash compared to cards, with a similar percentage of millennial respondents feeling the same way.However, only 33% of Gen X and just 21% of baby boomers felt this way, showing older Americans experience the opposite effect when it comes to cash."We are starting to see these generational divides around how people perceive cash," Lindsay Bryan-Podvin, a financial therapist for Cash App, told CNBC (2). "Older generations view cash as more real, more tangible," while the Gen Z and millennial groups are "not necessarily experiencing that same realness around cash."This perception gap likely stems from exposure. In the past, people learned about money management through physical currency, creating a psychological barrier that tapping a card doesn't replicate. But younger adults grew up checking account balances on their phones, while making digital money feel at least as real as cash, if not more.Trending: Warren Buffett used 8 simple money rules to turn $9,800 into a stunning $150B — start using them today to get rich (and then stay rich)While data from the Federal Reserve confirms lower-income consumers rely more on cash, along with adults 55 and older (3), using cash over debit doesn’t have any correlation to debt or savings.Those earning less may use cash more than cards because they simply lack access to credit or are being financially cautious, not because cash inherently prevents debt. 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