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What is the Sandwich Generation? This is the Cause and How to Break the Chain!

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The sandwich generation has become a new term popular among the public, especially teenagers and adults.

Those in this position often complain about the burden of life that feels heavier because they have to meet the financial needs of generations below or above.

The condition of the salary that is just passing through because they have to help their parents' financial needs, their own family, and even their children is a problem that is often experienced by the sandwich generation.

However, what is the sandwich generation, and what are the solutions for managing finances to break the chain? Come on, see the complete discussion below.

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What is the sandwich generation?

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Maybe some of you are still confused by this term. You might even be aware that you belong to this generation. Therefore, let's discuss more deeply what the sandwich generation is?

The sandwich generation was initially introduced by Dorothy A. Miller, a professor and director of practicum from the University of Kentucky in 1981 in the journal entitled “The Sandwich Generation: Adult Children of The Aging.”

This term refers to a situation in which a person has the dual responsibility of supporting two generations of his family, be it the upper generation such as parents or in-laws and the lower age such as younger siblings, biological children, or even grandchildren, if any.

Simply put, the sandwich generation is a term used to describe a person's financial position that is “sandwiched” between two other generations (the upper and lower generations), like stuffing meat on a sandwich.

Therefore, someone who is in this position inevitably has to be responsible for providing financial solutions to support the two generations above and below him.

This condition is certainly not easy to go through because you have to support and take care of many people simultaneously, especially if your salary is considered too mediocre.

Because of the pressure and burden that is considered too heavy, this condition also often makes the sandwich generation easier to stress, which can harm social life, physical health, emotional, and work.

The cause of the sandwich generation

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The condition of the emergence of this sandwich generation certainly does not occur without cause and reason. However, what is the factors that cause the sandwich generation?

One of the leading causes is the lack of a person's ability to manage finances. One of the reasons for the failure of parents to prepare financially for their old age is uncontrolled consumptive behavior.

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This consumptive behavior can certainly hamper financial plans for the future so that financial priorities are not appropriate.

For example, the most common examples are that it is easy to be attracted to buying things that are not needed so that expenses swell and can not save.

If this is the case, then the generations below them, namely children, inevitably have to bear the burden of their parent's lives. If the person is married and has children of their own, then life as a sandwich generation can't be avoided.

Another reason may be that this person was also the sandwich generation who had to support many people, so they found it challenging to save for their needs in old age and eventually depended on the next generation.

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A solution to breaking the chain of the sandwich generation.

With the many financial needs that must be met and the prices of daily necessities that continue to increase, this condition makes the sandwich generation seem to have become a complex chain to break.

However, complicated does not mean there is no solution at all suitable? If you want to put in a little more effort, there are a few workarounds for breaking the chain of the sandwich generation. Here are some of them.

1. Record the flow of financial income and expenditure

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In any case, recording the flow of daily financial income and expenses has proven to be one of the most powerful ways to control your finances.

The reason is that a person's consumptive behavior is generally triggered because they do not have a clear financial record, so they don't have the brakes to hold back on buying things that they may not need.

If this is the case, expenses will become out of control, and it is possible if the nominal costs each month become swell later than usual.

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2. Manage finances wisely

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As explained above, the difficulty of managing finances in youth is one of the leading causes of the emergence of the sandwich generation. Therefore, to break this chain, you must be good at managing your income wisely.

Currently, experts suggest many formulas for managing finances, one of which is the 40-30-20-10 formula. That is, you use 40 percent of your total income for needs, 30 percent for installments, 20 percent for savings, and 10 percent for goodness.

Now, so that the money you save can generate profits in the future, you can also save it into investment instruments such as mutual funds, bonds, or stocks which are of course tailored to your needs and abilities.

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In addition, try to permanently save at the beginning when you just get paid, instead of saving using the remaining money at the end of the month.

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3. Increase your source of income

No matter how good you are at managing money, if the amount of expenses needed is more significant than your income, it will also be difficult for you to be able to prepare for savings in the future.

Therefore, adding a new source of income is a solution that must be done. You can find new sources of income through freelance work or even start your own business.

However, if you want to enter the business world, choose a promising business sector such as the education sector. The reason is that education continues to be one of the needs of the community that will be needed at any time.

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In addition, the education sector is also fully supported by various government programs such as the BOS Fund, which education units can use to fulfill the procurement of goods and services in schools through the platform.

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