How to Money Podcast Summary

Episode: Gen Z vs. The Old Money Rules w/ Lillian Zhang #1070
Podcast: How to Money (iHeartPodcasts)
Date: December 3, 2025
Host: Joel
Guest: Lillian Zhang (Author, “The New Money Rules”)

Main Theme & Purpose

This episode dives into how Gen Z approaches personal finance, contrasting "old money rules" with the realities young adults face today. Host Joel interviews Lillian Zhang—a content creator and author—about generational shifts in attitudes to saving, investing, student debt, career paths, and what it means to achieve financial freedom. The discussion covers practical strategies, mindset shifts, and why Gen Z is rewriting the personal finance playbook.

Key Discussion Points & Insights

1. Personal Finance Upbringings & Mindsets

• Lillian’s Background: Daughter of Chinese immigrants, grew up absorbing a “scarcity mindset” around money due to parents’ struggles and lack of direct financial education.
  • “I had a lot of subconscious thoughts about [money] that have stayed with me into my early adulthood.” (05:04 – Lillian)
• Both Lillian and Joel recall hearing arguments about money as kids, impacting their desire to achieve financial security.

2. Early Financial Literacy & Entrepreneurship

• Lillian ran an Etsy business through middle and high school, which taught her the value of a dollar early.
  • “My parents never actually really provided me an allowance…I became very hyper aware that it was very difficult to earn a dollar.” (08:58 – Lillian)
• Entry into investing came late (not until college), primarily self-taught via YouTube and a Berkeley course.

3. Gen Z vs. Older Generations: What’s Actually Different?

• Abundance vs. Overwhelm of Information:
  • Some Gen Zs leverage abundant online resources to start early; others are paralyzed by options.
  • “I see people and peers typically fall into two buckets…people feel very overwhelmed and don’t know where to start.” (13:20 – Lillian)
• Compared to Millennials, Gen Z is more open about money—a shift driven by social media “loud budgeting” and TikTok trends.
  • “On TikTok, it’s so casual to see someone just talking about how much debt they have and how they’re planning to pay that off.” (15:32 – Lillian)
• Gen Z faces unique hurdles: stagnant wages, high housing/education costs, and increased economic pressure—but is also more entrepreneurial and digitally savvy.

4. Investing: Trends and Pitfalls

• Gen Z invests earlier but is also drawn to higher-risk strategies (crypto, options, meme stocks, etc.), often pushed by FOMO and viral social media success stories.
  • “I think a lot of my peers are seeking short term gains…we tend to forget to zoom out for the bigger picture.” (18:02 – Lillian)
  • “By the time you see [a hot investment] it’s probably already over.” (20:08 – Lillian)
• Lillian endorses long-term, sustainable investing; most of her portfolio is in broad-market ETFs.

5. Economic Pessimism, YOLO, & Planning

• Some young adults withdraw into a "YOLO" mindset, resigning future planning as impossible; others double down on saving and education, aiming to overcome systemic challenges.
  • “I know plenty of high earners in my peer group…they’re just not prioritizing [the future] because they want to live in the now.” (28:10 – Lillian)

6. Reaching the First $100K: Privilege, Saving, & Early Action

• Acknowledges privilege (Lillian had no student loans).
  • “Everyone is different. So don’t feel behind if someone is doing something because you’re always on your own journey.” (30:18 – Lillian)
• Key: Aggressive saving, opening a Roth IRA, starting early—even modest amounts compounded matter.

7. Rethinking Student Debt and College

• Warns how 18-year-olds sign major loan contracts without understanding implications.
• Advises working backwards from desired career salaries to gauge appropriate debt load.
  • “It’s really down to just like numbers and math.” (34:45 – Lillian)
• Advocates for broad, practical majors plus minor in passion areas—keep passion alive without overextending financially.

8. “Loud Budgeting” & New Budget Rules

• TikTok trend: sharing financial goals publicly for accountability and destigmatizing budgeting.
  • “It was just more of a really fun and open conversation about how people approach spending their money…” (38:09 – Lillian)
• Focus on aligning spending with values—budgeting not about restriction, but empowerment and clarity.

9. Careers, Side Hustles & the “Portfolio Career”

• Gen Z is likely to have many careers, not just jobs. The “portfolio career” means blending skills across industries, embracing side gigs that compound value (content creation, entrepreneurship).
• Distinguishes between transactional side hustles (e.g., Uber) and scalable, skill-based ventures.

10. Homeownership: Old vs. New Rules

• Owning a house isn’t the only mark of financial “success”—especially in high-cost areas.
  • “The idea of owning a house as a single person is a lot more daunting…we are okay and content with renting and that it’s not the end of the world.” (46:20 – Lillian)
• Recommends adjusting expectations or being prepared for greater sacrifice/work.

11. Financial Freedom: Defining Success on Your Own Terms

• Lillian’s definition has shifted from pure scarcity/saving to a blend of security, enjoying the present, and supporting loved ones.
  • “Money is just a means to live your life to the way that you desire or expect…the object of money itself is not the reason why we’re doing all these things.” (54:10 – Lillian)

Notable Quotes & Memorable Moments

• On Learning by Doing:
  “There’s this power I think when young kids, young people earn money and then they have to make saving versus spending choices.” (10:47 – Joel)

• On Social Media’s Positive Role:
  “People really like to see the journey of going from one place to a different and more developed version of themselves.” (15:32 – Lillian)

• On Risky Investing and FOMO:
  “The only person that really benefits [from viral investing trends] are the people who are promoting them because they got in early. By the time you see it, it’s probably already over.” (20:08 – Lillian)

• On Old vs. New Housing Rules:
  “A lot of Gen Z, we don’t really relate to that [‘you must buy a house’] anymore. Especially like you said, like high housing prices…it’s just much more difficult.” (46:20 – Lillian)

• On Overcoming Scarcity Mindset:
  “The more things you try and the more things you are open to like try doing…the light bulb moment was when some of my first advertisers reached out to me.” (55:18 – Lillian)

Important Segment Timestamps

• Meeting Lillian, Early Splurges, and Financial Upbringing: 01:54 – 06:52
• Entrepreneurial Beginnings & Discovering Investing: 08:36 – 11:53
• Gen Z’s Info Overload and Openness: 13:20 – 15:32
• Gen Z Investment Trends & FOMO: 18:02 – 21:19
• Attitude Shifts: YOLO Mentality vs. Long-Term Planning: 26:26 – 29:15
• First $100K, Privilege & Starting Early: 29:25 – 32:44
• College Debt and Choosing Degrees: 33:30 – 36:53
• Redefining Budgeting/Loud Budgeting: 38:09 – 40:13
• The New “Portfolio Career”/Job-Hopping Reality: 41:10 – 45:19
• Buying vs. Renting—Adjusting the American Dream: 45:41 – 47:43
• Defining Financial Freedom, Outgrowing Scarcity Mindset: 52:24 – 54:39
• One Actionable Tip (Automate Your Savings!): 58:05 – 58:49

Actionable Takeaways for Listeners

1. Start Early—Even Small Investments Compound

• Automate savings and Roth IRA contributions, even if they seem insignificant now. Consistency outpaces perfection or picking the next hot thing.

2. Don’t Let Fear or Overwhelm Paralyze You

• If the information flood is paralyzing, pick a trusted source and start with the basics.

3. Be Open: “Loud” Budgeting Can Help

• Discuss money goals with friends and family (or online) to increase accountability and normalize money conversations.

4. Rethink “Success”

• Success and financial independence look different now. Renting is not failure. Skill-building matters more than rigid career ladders.

5. Understand the Costs of Debt and Education

• Forecast career salaries before taking on significant debt; combine practicality with passion strategically.

Closing Thought

Lillian closes with an encouragement to focus on automation and intentionality:

“Automating your savings and paying yourself first…immediately allows you put funds away for your future self…Definitely recommend the automation aspect.” (58:05 – Lillian)

Connect with Lillian Zhang:

• Book: The New Money Rules (available everywhere)
• Socials: Instagram, TikTok, LinkedIn, YouTube – @LillianZhang

For Gen Z (and beyond):
Old rules no longer fit the current financial landscape. Stay open, stay curious, and define financial success on your own terms—while never forgetting the power of starting now, no matter how small.