Shrinking social circles: 4 million Aussies cut their friend group to save money
Australians are cutting friends loose to manage the ever rising cost of living, according to new research by Finder.
A Finder survey of 1,041 respondents found 1 in 5 (21%) – equivalent to almost 4.4 million people – have broken up with a friend or reduced the size of their friend group due to the cost of living.
The research found 6% have parted ways with a mate, while 16% are going out with fewer people.
More than 1 in 4 (26%) are going out to fewer social events or skipping them altogether to save cash, with hens parties, weddings and dinners out all on the chopping block.
Rebecca Pike, money expert at Finder, said rising costs are forcing Aussies to reevaluate their priorities.
"As bills, mortgages, and groceries soar, many are finding it increasingly difficult to justify discretionary spending like nights out or expensive hobbies.
"Unfortunately, for some, social activities have become a luxury they can no longer afford."
Young Aussies are the most ruthless with 10% of gen Z and millennials axing a buddy due to the rising cost of living, compared to only 2% of baby boomers.
Pike said socialising can be costly, with brunches, parties, and shopping outings becoming increasingly expensive.
"It can be challenging when your friends seem less affected by the rising cost of living.
"Honesty is key. Share your financial goals with your friends and propose cost-effective activities, such as a walk instead of a fancy brunch."
Pike said to surround yourself with people who understand your situation and enjoy low-cost or free activities.
"Don't go into debt to afford social occasions – real friends will support your choices and respect your boundaries.
"Don't hesitate to prioritise yourself, especially when you have financial goals to focus on," Pike said.
| Have you reduced the size of your friend group due to the cost of living? | |
|---|---|
| Yes, I have broken up with a friend | 6% |
| Yes, I'm going out with fewer people | 16% |
| No, but I go to fewer social events/skip events (e.g. hens, weddings, dinners) | 26% |
| No, none of the above | 53% |
| Source: Finder survey of 1,041 respondents, August 2024 |
Methodology
- Finder's Consumer Sentiment Tracker is a monthly recurring nationally representative survey of more than 60,000 respondents.
- Figures in this release are based on 1,041 respondents from August 2024.
- The Consumer Sentiment Tracker is owned by Finder and operated by Qualtrics.
- The survey has been running monthly since May 2019.