Ever get that sense with your paychecks that you see them and then they’re gone? Your rent did, your food did, and your electric bill did. You’re working, you’re budgeting, you’re skipping the oat flat white, and the money still escapes like a silk scarf in the wind, on a bike ride.
So, before you take the next step, let’s discuss a point everyone’s been saying in the group chat: do we have a broke society in the making or a difficult time to be sure about that we’ll laugh about later? I did some digging, you don’t need to. Grab a tea. Some of it was stinging and some of it caught me off guard.
The Numbers Behind That Sinking Feeling
Inflation Came Back for an Encore
Recall the time when no one was talking about escalating prices? But, following the Middle East conflict, energy prices surged and here we are. The Dutch planning bureau CPB is forecasting inflation of 3.3 per cent for 2026 and 2.7 per cent for 2027. The European Central Bank projects 3.0 percent for 2026 and 2.5 percent for 2027 for the eurozone, and increased interest rates in September 2026.
Wages Are Winning, But Only on Paper
Here’s the twist. Collective wages are increasing faster than prices in the Netherlands: on average 4.3 per cent in 2026 and 3.8 per cent in 2027. Sounds great, right? Despite this, except CPB still predicts a drop in median purchasing power in 2027 of 0.1 per cent, as income taxes increase to make up for it. You receive a raise and have a little less. Iconic.
Who Is Getting Hit Hardest?
Young, Renting and Flexible
If I were to draw the individual who feels this the most, it would be someone under 30 who rents and doesn’t have a permanent contract. To answer the question in other words: A great many of you reading this.
Since 2010, prices of housing units are up 55 percent and rents are up 27 percent across the EU. Average age of Europeans leaving home is now 26.3. In Croatia, it’s 31.5, in Spain and Italy it’s just over 30. In Greece, 25% of young people reside in households that allocate at least 40% of their income to housing.
Meanwhile, at the Very Top
In January 2026, Oxfam revealed that billionaire wealth had increased 16 per cent over a year to a new all-time high of 18.3 trillion dollars, a rise of 81 per cent since 2020. The number of billionaires has increased from over 500 to over 3,000. So, when they ask if we are going towards a broke society, the truthful answer is that society is not broke. The money exists. It’s simply being collected in less locations.
Housing: The Final Boss
The Dutch Version
About 384,000 homes are missing in the Netherlands. In the summer of 2026, the average price of an old house hit the 500,000-euro threshold for the first time. In July 2026, rents went up 4.4%, and when a new tenant comes in, free-sector landlords are not subject to the annual cap. That’s not a housing ladder for the starter who’s making a regular paycheck. This is a wall with a “good luck” sign on it.
What It Does to a Generation
Without purchasing, there’s no equity to build. If rent is greater than income, there is no savings. Thus, people remain in their homes with their parents, delay moving in together, and delay childbearing. You aren’t lazy, you aren’t eating too much avocado toast! That’s maths.
The Generational Gap Is Really a Property Gap
Here is the surprise I promised you! In September 2026, Statistics Netherlands (CBS) assessed the generations and found that the purchasing power of the younger generations is generally higher than that of the older generations at the same age. Millennials’ wealth has risen during their 30s when home prices have increased.
“However, Gen Z and Millennials in their early 20s are less wealthy than those from previous generations, and Gen Z’s home ownership rate is lower than the previous generation’s. The true difference is that of owning versus renting. The average wealth of the Dutch household is about 564,000 euros. Renters hold about 40,000. Renters under 25? Under 9,000. Owned homeowners also have about four times as much pension wealth. Boomers and older millennials got on the train to the property, when ticket prices were low. The other people stand on the platform with a tote bag.
Gig Work and the Art of Not Knowing Your Income
In early 2026, approximately 2.7 million people in the Netherlands had a flexible contract. Almost half of the people with a flexible contract are aged between 15 and 25. Some 730,000 under-25s work on call. What sounds cute in the flex is not so very cute when it comes to getting a mortgage, a rental or just planning next month. That low-key money anxiety that a lot of us have is due to unstable income combined with rising fixed costs.
What a Broke Society Does to Fashion and Culture
We Shop Differently
Taste is influenced by financial pressure. According to ThredUp’s 2026 resale report, 62 percent of American Gen Z consumers purchased secondhand in the last 12 months, while 58 percent would choose secondhand over new. By 2030 the global second-hand market will be valued at 393 billion dollars. It’s a Vinted score, a kringloop find or a Koningsdag bargain that brings more credibility than a logo.
Broke Generations Make the Best Stuff
Here’s the bit that I like. Punk emerged from the crisis-era Britain wearing safety pins and ripped up shirts. The Bronx was a doomed borough where hip-hop had come into existence. Grunge was flannel purchased from a thrift store and worn due to its low cost and warmth. You have to make up stuff when you are under constraint. The most interesting looks have never come from people with the most money.
What You Can Actually Do
While I’m a style blogger and not your financial adviser, these fundamentals help. Know your numbers: Record what is coming in and what is going out, even if it is frightening. Start small; even 20 euros per month. If your raise is less than the inflation rate, you got a cut in salary, so bring that 3.3 percent with you to the next salary discussion.
See if you are eligible for huurtoeslag and zorgtoeslag. Get on the social housing list as early as possible even if you don’t need it at the time. Beware of buy now, pay later – it’s debt in a pretty package. Also consider cost per wear – a 60 euro jacket that is worn 100 times outlasts a 15 euro top worn twice.
The itismandystyle Take
So, is 2027 a broke society? My honest observation: It’s a bit bumpy and a bit structural. Inflation should ease. There needs to be a vote and a vocal push to close the gap between owner and renter and it won’t happen by itself.
Yet, a style should not be a matter of money. Creativity is free. Confidence is free. Rewearing, swapping, thrifting and altering of what has already been purchased is virtually free. This is what this blog is all about, showing you that you can look and feel like you on any budget!
The next time someone asks are we going to a broke society? say maybe, but we’ll be the best-dressed broke generation in history!
