Archive · 16 Aug 2026
Gen Z UPI Spending: Essentials Dominate, Discretionary Choices Revealed
SalarySe is a company that helps employees manage their money using digital payments.
They looked at how young workers in India, a group called Gen Z, spend money through a system called UPI.
More than 5.2 lakh young people's payments were studied.
The study found that most of their money goes to everyday things like bills, groceries, and subscriptions.
Paying bills and subscriptions takes the biggest share, about 20 out of every 100 rupees spent.
Groceries take about 16 rupees, followed by financial services, shopping, and food.
Together, these everyday needs make up more than 70% of what they spend each month.
Travel gets only a small slice, about 5%.
The study shows that Gen Z is careful with money and not just spending on fun things, and that they enjoy apps like Jio, Netflix, and Spotify.
SalarySe analyzed millions of UPI transactions from over 5.2 lakh salaried Gen Z users in India.
Bill payments and subscriptions make up the largest share of Gen Z monthly spending at 20.1%.
Everyday categories — bills, groceries, financial services, shopping, and food — account for over 70% of monthly spending.
Travel accounts for only 5% of spending, while discretionary spending stayed at 32% for both the 18–23 and 24–29 age groups.
Among entertainment subscriptions, Jio leads at 12.4%, followed by Netflix at 10.7% and Spotify at 5.6%.
- Who
- Salaried Gen Z workers in India aged 18–29, studied by SalarySe with commentary from co-founder Piyush Bagaria.
- What
- A SalarySe analysis of millions of UPI transactions found Gen Z spending is dominated by essentials such as bill payments, subscriptions, and groceries rather than big-ticket lifestyle purchases.
- When
- Not specified in the article; the study reflects recent UPI transaction data.
- Where
- India.
- Why
- To understand how India's youngest salaried workforce manages its finances in a digital-first ecosystem and how these behavior shifts may shape products, employee benefits, and financial experiences.
- Study Conducted By
- SalarySe
- Sample Size
- Over 5.2 lakh salaried Gen Z users
- Age Group
- 18 to 29 years
- Largest Spending Category
- Bill payments and subscriptions (20.1%)
- Top Five Spending Basket
- Bills (20.1%), groceries (15.7%), financial services (12.2%), shopping (11.9%), food (11.5%)
- Everyday Categories Share
- Over 70% of monthly spending
- Travel Share
- 5% of monthly spending
- Top Entertainment Subscriptions
- Jio (12.4%), Netflix (10.7%), Spotify (5.6%)