The youngest generation in the workforce reports starting to build wealth at 19 on average, according to U.S. Bank’s 2026 Wealth Survey of 5,000 U.S. adults, conducted June 15 through July 1. Millennials began at 25, Gen X at 29, and boomers at 32.

Building wealth, though, doesn’t always equal building stability. That’s exactly the case here.

According to the same survey, 56% of Gen Z say they did everything “right” but still aren’t where they hoped to be financially. Sixty-two percent say they struggle to make financial headway. And although Gen Z and millennials are the generations most likely to name homeownership as a top five-year financial priority, 29% of Gen Z and 26% of millennials say they’ve given up on owning a home for financial reasons.

Gen Z and millennials aren’t losing out on financial security because of an addiction to avocado toast. The traditional path simply doesn’t deliver what it used to—and for employers trying to attract and keep young talent, that matters.

Why isn’t Gen Z’s head start paying off?

Start with housing. In 2025, the median existing single-family home sold for nearly five times the median household income—4.7, to be exact—according to Harvard’s Joint Center for Housing Studies’ The State of the Nation’s Housing 2026 report. That ratio was 4.1 as recently as 2019, and it averaged just 3.2 in the 1990s.

The gap shows up in who’s actually buying. The median age of first-time homebuyers has climbed to an all-time high of 40, according to the National Association of Realtors’ 2025 Profile of Home Buyers and Sellers. In the 1980s, it was in the late 20s. Locked out, many young adults are pouring money into the stock market instead, and some parents are funding down payments over college savings.

Now look at college. In 1995-96, published in-state tuition and fees at public four-year colleges averaged $5,940 a year in today’s dollars. In 2025-26, they’re $11,950—roughly double, according to the College Board’s Trends in College Pricing and Student Aid 2025 report. Over a similar stretch, from 1994 to 2024, median family income rose just 39% after inflation.

Finally, most workers still need cars to get to their jobs. About 7 in 10 U.S. workers drive alone to work, according to the U.S. Census Bureau. Meanwhile, the average new vehicle sold for $50,562 in September, just $52 shy of the all-time record, according to Kelley Blue Book. Buying used isn’t much of a penny saver. The average used car was listed for $27,239 in August, up 7% from a year earlier and the highest since December 2022, according to Cox Automotive.

Housing, education, and transportation were once considered attainable milestones. For many Gen Z workers, they now feel like luxuries reserved for previous generations.

What are employers doing differently?

When traditional milestones feel like being 5 feet tall and playing one-on-one against Michael Jordan, many Gen Z workers judge a potential job by one question: Will this position help me move forward?

Some employers are changing the game to answer that question. One option is matching contributions. Since 2024, the SECURE 2.0 Act has allowed employers to match employees’ student loan payments with 401(k) contributions—so workers paying down debt can earn a retirement match without contributing to the plan themselves.

But the traditional 401(k) match still assumes workers have money left over to put in. For young employees who don’t have two nickels to rub together, that’s a big assumption.

“A 401(k) match is great in theory, but a 23-year-old paying $2,400 in rent on an entry-level salary can’t, through no fault of their own, afford to contribute enough to earn it, so the benefit skips the people who need it most,” Amy Spurling, founder and CEO of Compt, which runs employee stipend programs, tells Fortune.

That’s worth remembering during open enrollment, when employees are choosing their benefits.

“If your employees under 30 are skipping the match and ignoring the perks, that tells you something isn’t working,” Spurling says.

Gen Z started building wealth at 19. Now leaders have to show them it was worth it.