--- title: Why You Still Need to Carry a Wallet, Even in a Tap-to-Pay World description: Physical wallets seem so analog. With digital IDs and tap-to-pay, do you really need to tote around that billfold? Experts say yes. authors: - name: Julia Glum role: Managing Editor url: https://money.com/author/julia-glum/ bio: Julia Glum joined Money in 2018 and specializes in covering financial trends that affect everyday Americans' wallets. She also writes Dollar Scholar, a weekly newsletter that teaches young adults how to navigate the messy world of money. education: University of Florida at_money_since: 2018 articles: 453 covers: - Lifestyle - Banking - Business - Career Advice - Credit - Credit Cards - Debt - Economy and Politics - Education - Health and Wellness - Housing - Identity Theft - Insurance - Investing - Loans - Mortgages - Personal Finance - Professional Services - Retirement - Shopping - Taxes - Technology also_seen_in: - Newsweek - International Business Times - CBS News - Good Morning America - WUSA9 - Pix 11 - The New York Times - Mashable - The Washington Post - CNBC - Politico social: - https://x.com/superjulia - https://www.linkedin.com/in/julia-glum editors: - name: Katherine Peach role: Associate Editor url: https://money.com/author/katherine-peach/ bio: Katherine Peach is an associate editor with a focus on news and email at Money. She didn’t always intend to write about money. She’s a classically trained pianist who dreamed of becoming an archaeologist. However, in 2007 Katherine began working in financial publishing as an editor for Agora Inc. (Apparently, unearthing ideas about improving your personal finances isn’t such a bad career alternative!) Katherine’s writing and editing work has been featured in Investing Daily, Clever, Investor Junkie, The Palm Beach Letter, Truth & Plenty, Independence Monthly, NICHE, AmericanStyle, AntiqueWeek, Millennial Money, Money Done Right, TheStreet, Sure Dividend and many others. Katherine holds a Bachelor of Arts in Ancient Studies with concentrations in Archaeology and Ancient Languages and a minor in Literature from the University of Maryland, Baltimore County. She is a member of Phi Beta Kappa. education: University of Maryland, Baltimore County at_money_since: 2025 articles: 14 covers: - Lifestyle - Banking - Career Advice - Credit - Credit Cards - Debt - Economy and Politics - Education - Federal Reserve Rate Cuts - Health and Wellness - Housing - Identity Theft - Insurance - Investing - Loans - Mortgages - Personal Finance - Professional Services - Retirement - Shopping - Taxes published: '2025-12-08T14:32:14.000Z' modified: '2025-12-08T18:19:42.000Z' section: Lifestyle tags: - News word_count: 744 canonical: https://money.com/do-you-still-need-a-wallet/ type: NewsArticle source: structured-blocks --- > **Disclosure:** We research all brands listed and may earn a fee from our partners. Research and financial considerations may influence how brands are displayed. Not all brands are included. [Learn more](https://money.com/page/disclaimer/). ![Close-up of a person holding a wallet carrying multiple smart phones](https://img.money.com/2025/12/News-Should-You-Have-Wallet.jpg) A growing number of people have decided to leave the billfold behind, both metaphorically and physically. A [recent survey](https://aboutus.godaddy.net/newsroom/news-releases/press-release-details/2025/Buy-Online-Avoid-People-GoDaddy-Survey-Uncovers-New-Gen-Z--Millennial-Shopping-Habits/default.aspx) found that 5% of Gen Zers — people born between 1997 and 2012 — don't carry a wallet anymore. The *New York Times* [declared it](https://www.nytimes.com/2024/03/06/technology/personaltech/mobile-wallet-app.html) a trend last year. But is this a brilliant idea or a bad one? "The truth is, the concept of a 'wallet' has gone through modern-day transformations, and it can live in your back pocket, in your phone or via an app," Marissa Cazem Potts, Intuit financial advocate, says in an email. "These days, there's an easier way to access your money with modern technology." ## Jumpstart your New Year's resolutions with a High-Yield Savings Account ### Get ahead with your finances. Start earning interest by opening a SoFi High-Yield Savings Account today. Click on your state and find out more. [View Rates](https://money.com/pr/jd1a3c315999?ap_referrer=%2Fdo-you-still-need-a-wallet%2F) Indeed, digital wallets are everywhere. Shoppers who don't already use them likely will soon: According to a [study](https://www.juniperresearch.com/press/over-two-thirds-of-the-global-population-to-own-a-digital-wallet-by-2029/) earlier this year, two-thirds of the world's population will own a digital wallet by 2029. That's 5.6 billion people (with a B). Ditching a physical wallet certainly has its pros. Elaine King, a CFP Board ambassador, admits she herself has done it by accident and realized the ability to travel light is nice: "It's obviously convenient because you don't have to carry anything but your phone," she says. The fewer items you're juggling, the easier it is to keep hold of them, which can be useful especially in places with pickpockets. Plus, where wallets are analog, phones are high tech. Cazem Potts points out that most digital payment methods offer encryption and biometric protection like FaceID or fingerprint scans, which can make them harder to compromise than a lost or stolen wallet with physical cards. They're also trackable and wipeable. From a financial hygiene perspective, using a phone as your wallet can help you keep track of what you're spending so there are no surprises. (You're already staring at your X notifications hoping to conjure [Harry Styles' next album,](https://x.com/search?q=hs4&src=typed_query), so why not scroll through your transaction alerts while you're at it?) This has the added benefit of helping you quickly identify and limit the scope of fraud. Alas, that's… kind of where the perks end. King, the founder of the Family and Money Matters Institute, says there are a lot more disadvantages to the no-wallet strategy than advantages. One of the biggest threats? Not every retailer has embraced Apple (or Google) Pay. Although merchants are modernizing fast, just 57% of small businesses [accepted digital wallets](https://www.jdpower.com/business/resources/customer-satisfaction-digital-wallets-continues-grow-usage-skyrockets) as of last year. On the other hand, 94% accepted physical cards. And even if a store does accept a digital wallet, there's no guarantee it'll work in a situation like a power outage, King says. Earlier this year, Spain and Portugal lost power to their trains, traffic lights, ATMs and phones for several hours. If your phone loses service — or even just dies in the course of everyday use — and you're not carrying cash, transactions could become awkward at best and impossible at worst. This isn't just a financial hurdle, either. Folks often keep a host of personal documents in their wallets that can be hard to replicate. Many states offer mobile-friendly versions of residents' driver's licenses, but they may or may not be good for airport security and age verification at bars. Perhaps most crucially, walking around walletless could also drastically change your spending habits. The [pain of paying](https://money.com/dollar-scholar-cash-only/) tends to be higher when using cash and lower when using credit cards. The ease of tapping your phone takes the risk to a whole other level. A 2024 [PYMNTS report](https://www.pymnts.com/mobile-wallets/2024/big-spenders-nearly-two-thirds-of-gen-z-spend-more-when-using-digital-wallets/) found that digital wallet users, on average, spend 31% more than those using other payment methods. Young folks are particularly susceptible to temptation: Millennials spend 51% more, and Gen Zers spend 60% more when using digital wallets. "When paying is as simple as tapping your phone, that frictionless experience can make it harder to pause and reflect," Cazem Potts says. "Without the physical act of handing over cash or even pulling out a card, it's easier to feel disconnected from your spending and overspend without realizing it." Despite the growing adoption of digital wallets, there are drawbacks to ditching your wallet entirely. Paring down, not totally abandoning, the stuff you tote around may be the way to go. "Ultimately, the goal is to carry less but still feel covered for whatever your day brings," Cazem Potts adds. ### Up to 2-day-early paycheck ![View Rates](https://s3.consumersadvocate.org/prd/image/image/19227/medium_5c3a0d96-3da5-45d8-8e99-d58f043e9433.png) Our Partner [View Rates](https://money.com/go/6c4e505c99aa?bidid=4030704898&pmeta=p129-c561-u39720&ptid=662434335&ptoken=a3cbdd512f80c91bf444ab5c8c30e0e8) ### No monthly maintenance fees ![View Rates](https://s3.consumersadvocate.org/prd/image/image/7510/medium_8a6feaaf-bb2a-4668-a20d-603241767f86.png) Our Partner [View Rates](https://money.com/go/06b3bc58145f?bidid=4030704896&pmeta=p129-c561-u39720&ptid=662434335&ptoken=7dfe53e2af43175d8b3b830361457d47) ### Open an account in 5 minutes ![View Rates](https://s3.consumersadvocate.org/prd/image/image/38558/medium_9a7de13e-ef66-4a9d-9afd-0d742334c0be.webp) Our Partner [View Rates](https://money.com/go/714044d02a9f?bidid=4030704899&pmeta=p129-c561-u39720&ptid=662434335&ptoken=78f789af9b212546ba693ea534f8d981) ### $500 minimum opening deposit ![View Rates](https://s3.consumersadvocate.org/prd/image/image/35396/medium_03f248f6-d7f4-4da6-8f13-322fce5d1be2.webp) Our Partner [View Rates](https://money.com/go/b4d747d44e72?bidid=4030704900&pmeta=p129-c561-u39720&ptid=662434335&ptoken=31d0a5f2dac7d947554d9f9177205f7f) ![](https://s3.consumersadvocate.org/prd/image/image/19227/medium_5c3a0d96-3da5-45d8-8e99-d58f043e9433.png) With a Savings Account from SoFi®, you can save money while earning it [View Rates](https://money.com/pr/s46e80315d91?ap_referrer=%2Fdo-you-still-need-a-wallet%2F) ```json { "@context": "https://schema.org", "@graph": [ { "@type": "BreadcrumbList", "@id": "https://money.com/do-you-still-need-a-wallet/#breadcrumb", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Home", "item": "https://money.com" }, { "@type": "ListItem", "position": 2, "name": "Lifestyle", "item": "https://money.com/lifestyle/" }, { "@type": "ListItem", "position": 3, "name": "Why You Still Need to Carry a Wallet, Even in a Tap-to-Pay World" } ] }, { "@type": "WebSite", "@id": "https://money.com/#website", "url": "https://money.com", "name": "Money", "publisher": { "@id": "https://money.com/#organization" } }, { "@type": "WebPage", "@id": "https://money.com/do-you-still-need-a-wallet/#webpage", "url": "https://money.com/do-you-still-need-a-wallet/", "name": "Why You Still Need to Carry a Wallet, Even in a Tap-to-Pay World", "isPartOf": { "@id": "https://money.com/#website" }, "datePublished": "2025-12-08T14:32:14.000Z", "mainEntity": { "@id": "https://money.com/do-you-still-need-a-wallet/" }, "inLanguage": "en-US", "breadcrumb": { "@id": "https://money.com/do-you-still-need-a-wallet/#breadcrumb" }, "dateModified": "2025-12-08T18:19:42.000Z" }, { "@type": "NewsArticle", "headline": "Why You Still Need to Carry a Wallet, Even in a Tap-to-Pay World", "articleSection": "Lifestyle", "image": [ { "@type": "ImageObject", "url": "https://img.money.com/2025/12/News-Should-You-Have-Wallet.jpg", "width": 1698, "height": 1134, "caption": "News-Should-You-Have-Wallet" } ], "author": [ { "@type": "Person", "name": "Julia Glum", "url": "https://money.com/author/julia-glum/", "@id": "https://money.com/author/julia-glum/#author", "description": "Julia Glum joined Money in 2018 and specializes in covering financial trends that affect everyday Americans' wallets. 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