Half of US parents financially support their adult children, survey finds
(Gray News) - We all know that bills and other expenses can add up, especially since the start of the pandemic, and more young adults seem to be turning to their parents for some extra assistance.
A recent survey found that 50% of U.S. parents with a child 18 or older provide some sort of money to help them financially. And even up to 73% when their adult child is more than 30 years away from retirement.
Researchers said they surveyed about 1,000 adults who had at least one child 18 or older.
On average, parents who do support their adult children financially were found to be spending just over $1,000 per month. Costs like food, health insurance, rent and cell phone bills were some of the most common, according to the survey,
Parents of Gen Z adult children were also helping with tuition and other school fees, which were the most expensive among the categories at $631 per month on average.
Rent or mortgage payments were the second most expensive contribution, at $467 a month on average, according to the survey.
Researchers shared some other key findings from their survey:
- Half of the parents with an adult child provide them with at least some financial support. Twenty-six percent of these parents say they’ve had to provide more support since the start of the COVID-19 pandemic.
- Sixty-two percent of adult children living with their parents don’t contribute at all to the household expenses.
- On average, parents who financially support their adult children give them $1,000 per month for expenses like food, health insurance, rent, cell phones, tuition, and even travel.
- Parents who are still working and supporting their adult children spend 23% more on their children’s expenses ($605 per month) than they do contribute to their own retirement or savings ($490 per month).
- If their adult children needed financial help, one in four parents said they’d pull money from their retirement accounts and 22% said they’d delay their retirement in order to provide support.
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