perhaps why many are gloomy about their economic prospects
June Zaccone
Soaring costs of food and housing forcing many to still rely on parents to cover expenses, as they risk retirement security Erum Salam 12 Mar 2024
Nearly half of US parents provide some kind of financial support to their adult children, who are grappling with higher food and living costs than they did, a new study has found.
The study – conducted by Savings.com – found that young, working-class Americans were not substantially benefiting from the recovery of the country’s economy, as “evidenced by high employment, falling inflation, and economic growth”. That has forced many of them to continue to rely on their parents to help cover costs of living.
The average age of adults receiving financial help from their parents – sometimes at the risk of the parents’ retirement security – was 22, according to the study. And while parents surveyed in the study on average said their adult children should become financially independent by 25, many were supporting those children beyond that milestone.
Of parents providing support, 21% were helping millennials (age 28-43) or members of gen X (age 44-59). Millennials and gen X adult children were on average given between $907 and $960 each month by their parents.
Gen Z adults (between 18 and 27) were getting more help from their mothers and fathers, averaging about $1,515 monthly.....