The Economy Is the Biggest Reason Gen Z Isn’t Dating or Having Sex, According to Data

A new survey of 2,373 U.S. adults ages 18 to 29 from the Kinsey Institute found that financial concerns are one of the significant barriers young adults report when it comes to dating and relationships. The study found that 43% said financial concerns made dating or maintaining a romantic relationship more difficult, while 37% said financial stress had negatively affected their sex life.

The findings add another piece to the growing discussion about why younger Americans appear to be dating and having sex less frequently than previous generations.

Dating Has Become More Expensive

Some respondents said they were dating less frequently or choosing free and less expensive activities. Others reported stopping dating altogether.

That financial pressure can make romance feel like an optional expense when rent, groceries, education, debt, and other necessities already consume much of a young person’s income.

Financial Stress Can Affect Intimacy Too

If someone isn’t meeting potential partners or entering relationships, they may simply have fewer opportunities for physical intimacy.

The Kinsey Institute study found that 29% of respondents had had no sexual partners during the previous three months, while 19% said they had never had a sexual partner.

That distinction is important.

Money Isn’t the Only Barrier

The Kinsey Institute research identified several other factors, including dating exhaustion and fear of rejection. Digital relationships and changing social habits may also influence how young adults seek connection.

The research found that approximately one in four respondents said online interactions, including messaging, social media, and AI companions, fulfilled some of their intimacy or emotional needs.

About 28% also reported that spending time on screens or digital activities reduced their motivation to pursue in-person sexual connections.

The Dating Problem Can Start Before the First Date

Someone who is struggling financially may hesitate to approach a potential partner because they assume dating will require money they don’t have.

A 2026 New York Times report on young adults found that some singles were putting dating aside to focus on housing, employment, and other financial responsibilities. The report also described young adults choosing cheaper dates or avoiding outings because of the expense.

Dating Doesn’t Have To Be Expensive

A romantic relationship doesn’t necessarily require expensive restaurants, elaborate experiences, or frequent spending.

Zelle’s 2026 research found that rising costs are changing dating expectations, with some people choosing less expensive or free activities instead.

That could mean walking together, cooking dinner, visiting a free event, exploring a neighborhood, or simply spending time together without making the evening revolve around spending money.

Gen Z Is Also Talking More About Financial Compatibility

Money isn’t simply becoming a barrier to dating. It is also becoming part of the conversation about what people want in a partner.

Bank of America’s research found that Gen Z is increasingly focused on financial responsibility. Its report also found that 42% of Gen Z respondents practice what it calls “loud budgeting,”  openly declining social activities because they cannot afford them.

Zelle similarly found that half of surveyed daters said financial compatibility had become more important when deciding whether to continue seeing someone.

Rather than simply asking whether someone can afford an expensive date, they may be paying more attention to how that person handles money generally.

The “Sex Recession” Is More Complicated Than a Money Problem

The phrase “sex recession” has become popular because several studies have identified lower levels of sexual activity among younger Americans.

The new Kinsey Institute research adds evidence that many young adults are currently having little or no sex. But it also shows the reasons vary. Financial concerns are significant, but they exist alongside dating fatigue, rejection concerns, changing social habits, and digital alternatives.

That makes the trend difficult to reduce to one explanation.

The Cost of Connection

It can make a first date harder to justify. It can discourage someone from dating altogether. It can reduce how frequently couples go out. And for some young adults, financial uncertainty may make starting a serious relationship feel like another responsibility they aren’t ready to take on.

Instead, they point toward a generation navigating relationships while facing a combination of financial pressure, changing social habits, and new ways of finding connection.

The price of a dinner may be rising, but the bigger question is whether young adults can find affordable ways to build the relationships they want.