Gen Z Workers Earn 4x More When They Switch Jobs — Should You Quit in 2026?
Long-term employment with the same organization or workplace might seem like the ultimate goal of anyone on the hunt for a job. After all, what’s better than job security and a guaranteed career?
Well, for Gen Z, the answer might be the exact opposite. In fact, members of the generation born between 1997 and 2012 might make more money by quitting their current jobs rather than keeping them.
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Younger Workers Make More by Leaving, Older Workers Earn More by Staying
New data from the Bank of American Institute found that Gen Z workers who changed employers between the first quarter of 2025 and the first quarter of 2026 saw nearly four times the wage growth of the Gen Z workers who stayed with the same employer. Meanwhile, millennials who switched jobs had twice the wage growth of their peers who stayed behind.
This pattern, however, reverses for baby boomers and Gen X. Typically, older workers experience bigger pay increases by staying with their job rather than by switching careers.
How Can People Make More Money by Quitting?
The main reason members of Gen Z can quadruple their paychecks by switching jobs is simple: It has to do with where they are in their careers. Younger workers often start in entry-level (or lower-paying) jobs, which gives them more opportunities to boost their earnings by moving into better-paying positions, transitioning from part-time work to full-time or by applying newly acquired skills. Also, employers are often willing to pay more to attract young talent.
Older workers, on the other hand, are more likely to already hold well-compensated roles. Their experience and institutional knowledge make them valuable enough to earn raises, promotions and bonuses right where they are. Switching would mean starting that credibility clock over.
Should You Consider Job-Switching for a Higher Salary?
Peter Berzin, founder and CEO of the employee-engagement platform PeopleE3, told MoneyLion that he would caution Gen Z workers against making compensation the only reason to switch jobs.
“Early in your career, strategic job changes can accelerate earnings because you're still building skills, responsibilities and market value,” he said. “The recent Bank of America research reflects that reality. However, the goal should not be to collect employers; it should be to collect capabilities.
"[You should] seek how you can provide value to the organization you're part of rather than what value they can provide to you. The highest long-term earners typically build increasingly valuable skills, leadership experience and business knowledge, not simply a longer list of companies on their resume.”
So, how do you know when it's actually time to go? Berzin has a three-question gut check:
Am I learning valuable, asset-producing skills?
Am I gaining greater responsibility?
Is my compensation growing at a reasonable pace?
“If the answer is ‘no’ to all three, it may be time to move,” he said. “If the answer is ‘yes’ to one or more, longevity can be just as valuable as job switching.”
The short version: Stay if you're still growing. Leave when you've stopped.
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This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.
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