It is indeed annoying and burdensome when doing taxes, but those who are satisfied with how their taxes are being spent wisely might not feel the same.
GOBankingRates conducted a survey showing that 70% of Gen Zers and 32% of baby boomers and Gen X believe their taxes are being spent effectively. The result showed boomers are less satisfied with how their taxes are spent– why do they feel this way?
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Gen Z vs. Boomers’ Perspective on Taxes
Andrew Latham, a certified financial planner and managing editor at SuperMoney, said most of the American taxes are spent on national defense and fund military spending. The rest goes to education, health care, infrastructure, Social Security, social welfare, research and development.
The same survey asked the respondents about their attitudes toward tax spending. It showed that 57% of Gen Z said they are paying a fair share in taxes compared to the decreased rate – 39% in those aged 55 to 64.
Survey results showed Gen Zers are more trusting and optimistic about how taxes are being spent. (Photo: RocketMat)
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It is clear that older generations do not believe their taxes are being spent wisely. Latham points out that the two generations have different priorities and experiences. He said boomers might focus more on retirement benefits, Medicare, and other entitlement programs. In contrast, Gen Z might be more interested in education funding and other programs related to social causes.
Furthermore, older generations grew up in a different generation which might have affected their lack of trust in government spending. Latham said older generations had experienced more political and economic upheaval than younger generations. Hence, boomers are generally disillusioned with how the taxes are being sent. And younger generations can be said to tend to be more optimistic and trusting of the government.
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