{"id":12529,"date":"2025-03-28T08:54:57","date_gmt":"2025-03-28T08:54:57","guid":{"rendered":"https:\/\/finderica.com\/?p=12529"},"modified":"2025-03-28T08:54:57","modified_gmt":"2025-03-28T08:54:57","slug":"half-of-parents-financially-support-adult-children-report-finds","status":"publish","type":"post","link":"https:\/\/finderica.com\/?p=12529","title":{"rendered":"Half of parents financially support adult children, report finds"},"content":{"rendered":"
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Maskot | Digitalvision | Getty Images<\/p>\n<\/div>\n<\/div>\n<\/div>\n

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To get by these days, more young adults turn to a likely source for help: their parents.<\/p>\n

For the first time, 50% of parents with a child older than 18 provide them with at least some financial support, according to a new report by Savings.com<\/a>. That’s up from 47% last year and 45% in 2023.<\/p>\n

From buying food to paying for a cellphone plan or covering health and auto insurance or even rent, these parents are shelling out about $1,474 a month, on average, the report found \u2014 a three-year high.<\/p>\n

“Adulting is expensive,” the report notes.<\/p>\n

More from Personal Finance:<\/strong>
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Many experts contend it’s harder today for young adults to make it on their own.<\/p>\n

In addition to soaring everyday expenses and\u00a0housing costs,\u00a0millennials and Generation Z face other\u00a0financial challenges\u00a0their parents did not at that age.<\/p>\n

Not only are their\u00a0wages lower\u00a0than their parents’ earnings when they were in their 20s and 30s, after adjusting for inflation, but they are also carrying larger\u00a0student loan balances, many reports show<\/a>.<\/p>\n<\/div>\n

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But by other measures,\u00a0young adults\u00a0are doing well.<\/p>\n

Compared with their parents at this age, Gen Zers are more likely to have a\u00a0college degree\u00a0and work full time. Plus, many millennials have more saved for retirement than they did just a few years ago, after reaping the benefits of positive market conditions.\u00a0 \u00a0<\/p>\n

Yet, roughly 1 in 3<\/a>\u00a0adults ages 18 to 34 in the U.S. live in their parents’ home, according to U.S. Census Bureau data.<\/p>\n

“Housing is a big issue and parents are helping more and more with rent and home purchases,” said Carolyn McClanahan, a certified financial planner and founder of Life Planning Partners in Jacksonville, Florida.<\/p>\n<\/div>\n

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<\/a>60% of parents risk their own financial security<\/h2>\n
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In addition to the monthly expense, supporting grown children can come with a long-term cost.\u00a0<\/p>\n

More than 60% of parents said they have sacrificed their own financial security for the sake of their kids, also a jump from previous years, Savings.com found. The site polled more than 1,000 parents of adult children in February.<\/p>\n

Further, about 18% of parents supporting adult children said those financial contributions could continue indefinitely.<\/p>\n

“They don’t see an end in sight,” said Beth Klongpayabal, the study’s lead data analyst.<\/p>\n

As a general rule, you should set aside money for your own retirement and emergency fund first, McClanahan said. She also suggests\u00a0parents set parameters to help ensure children are using the money they gift wisely.<\/p>\n

“We are careful to make sure parents don’t gift so much to put themselves in peril,” said McClanahan, who also is a member of\u00a0CNBC’s Advisor Council.<\/p>\n<\/div>\n

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Don\u2019t miss these insights from CNBC PRO<\/h2>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n

Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Maskot | Digitalvision | Getty Images To get by these days, more young adults turn to a likely source for help: their parents. For the first time, 50% of parents with a child older than 18 provide them with at least some financial support, according to a new report by Savings.com. That’s up from 47%<\/p>\n","protected":false},"author":1,"featured_media":12530,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rank_math_lock_modified_date":false,"footnotes":""},"categories":[196],"tags":[2189,1313,2119,1801,1012,483,561],"class_list":{"0":"post-12529","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-finance-news","8":"tag-adult","9":"tag-children","10":"tag-financially","11":"tag-finds","12":"tag-parents","13":"tag-report","14":"tag-support"},"_links":{"self":[{"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/posts\/12529","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=12529"}],"version-history":[{"count":0,"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/posts\/12529\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/media\/12530"}],"wp:attachment":[{"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=12529"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=12529"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=12529"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}