The month of March saw a surge in breakups, leading to significant financial implications for single individuals, according to the viral “March theory.” Data analyzed by the finance app Frich revealed that the average cost of a breakup for Gen Z is $3,862, including expenses such as housing, travel, dating, and post-breakup spending. Extreme behavior in the aftermath of a breakup, such as retail therapy and excessive nights out, contributed to the shock factor of post-breakup expenses.
Specifically, the study found that 34% of Gen Zers looking to quickly move on from a breakup were willing to spend an average of $131 on a date. Additionally, a single girl’s night out cost 20% of the study group an average of a little over $92. Some individuals chose to take a week-long vacation as a means of coping, with 20% admitting to spending an average of $1,991 on this type of trip. A smaller percentage, only 18%, opted for more affordable coping mechanisms such as taking a workout class or getting a haircut, which could cost around $100.
In addition to impulsive post-breakup spending, taking on the monthly expense of rent as a solo person can have a significant impact on one’s finances. Many couples choose to live together to save on rent, as indicated by the research showing that 18% of Gen Z stayed in relationships they were not happy with to avoid paying higher rent. In Manhattan, couples can save over $50,000 by sharing a one-bedroom apartment rather than living alone. The singles tax in the city has increased by 40% over the past three years, making it even more challenging for individuals to afford living on their own after a breakup.
Aleksandra Medina, CPO and Co-Founder of Frich, highlighted that breaking up is not just an emotional upheaval, but also a financial reset. Transitioning from sharing a life and a lease with a partner to living alone can be overwhelming, with challenges such as moving costs and rebalancing a solo budget. The financial implications of a breakup go beyond the emotional toll, impacting individuals’ ability to afford the cost of living independently after ending a relationship. Planning for post-breakup expenses and budgeting accordingly can help mitigate the financial strain of starting anew as a single person.
