From Christmas to Father’s Day, Australians spend a whopping $19.8 billion to buy gifts every year – but some generations are more generous than others.

A new report by Financial Planning Association of Australia has discovered that 85 per cent of Aussies enjoy giving more than receiving presents themselves – but young people in particular spend more time and resources into the gifting activity.

The report, titled Gifts that Give, surveyed 1,000 adults across four different age groups:

  • Generation Z: 18 to 24 years old (born 1995 to 2001)
  • Generation Y: 25 to 39 years old (born 1980 to 1994)
  • Generation X: 40 to 54 years old (born 1965 to 1979)
  • Baby Boomers: 55 to 73 years old (born 1946 to 1964)

Gen Y was found to be the biggest spenders of all generations, forking out an average of $130 each month on gifts. Gen Z came in second at $91 per month, while Gen X and Boomers spend $87 and $89 respectively.

Nearly two in five (38 per cent) Gen Ys buy at least one gift every month, compared with 31 per cent of Gen Zs, 23 per cent of Gen Xs and only 16 per cent of Boomers.

Gen Ys are also more likely to participate in group gift-giving, where people would chip in together to buy a more expensive present for a colleague, friend or family member. Four in five Gen Ys and Gen Zs (80 and 81 per cent respectively) participate in a group giving, while only three in five Boomers (62 per cent) reported doing the same.

Moreover, the report discovered Gen Y to be the generation most likely to allocate a budget for gifts. 35 per cent of Gen Ys reported setting aside some of their money for the activity, compared to Gen Zs at 31 per cent, Gen Xs at 24 per cent and Baby Boomers at 23 per cent.

However, Gen Ys are also the likeliest to spend more than they intend on gifts. 19 per cent reported that they tend to blow over their budget, while only 11 per cent of Boomers and 9 per cent of Gen Xs said the same.

Overall, the average Australian spends an average of $100 each month or $1,200 each year on gifts. Out of this amount, $437 is spent on presents for our spouse or partner, $361 for our child, $201 for our parent, and $115 for our pet.

Cash and gift-cards also remain a popular gift for both givers and recipients. More than half (53 per cent) Baby Boomers reported giving cash for weddings, while parents said cash is their children’s second most wanted birthday present after toys (among children aged 12 and below) or gadgets (among teens aged 13 to 18).