You’re not broke, you just think you are. Scrolling through influencer posts boasting luxury lifestyles ornamented by expensive cars, designer bags, and exotic vacations is distorting our perception of our own finances. Unrelated to real concerns over rising living costs and a competitive job market, social media has been creating the illusion of financial insecurity.

The unofficial diagnosis? Money Dysmorphia. This new side effect of social media is hitting young people with higher exposure to social media the hardest. Similar to body dysmorphia — which causes people to focus on an imagined flaw in their appearance — money dysmorphia causes a warped view of people’s financial situations.

Don’t compare your wallet to their Instagram highlights… According to a survey by Intuit Credit Karma, 43% of American Gen Zers and 41% of millennials experience money dysmorphia. Some 37% of those that believe that they’re lagging behind financially have more than USD 10k in savings, with another 23% having USD 30k. For comparison, the average balance for that demographic is USD 5.3k.

…And don’t let it influence your spending behavior. A 2023 survey (pdf) by financial planning firm Edelman Financial Engines showed that a third of those surveyed admitted to going over their budgets to emulate lifestyles and experiences they see online. This figure increased an additional 50% among those who spent over three hours scrolling through social media.

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