Latest news with #Savings.com
Yahoo
20-05-2025
- Business
- Yahoo
We financially support the oldest of 3 adult children. I believe in equal support, but my husband disagrees.
Parents spend nearly two decades preparing their children to grow up and leave the nest. But sometimes those little birds fly back, and they need financial help. But how much is too much, and when there's multiple children involved, when does that help become unfair? Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's how I'm 49 years old and have nothing saved for retirement — what should I do? Don't panic. Here are 5 of the easiest ways you can catch up (and fast) Nervous about the stock market in 2025? Find out how you can access this $1B private real estate fund (with as little as $10) Those questions are haunting plenty of parents these days. It sounds like you and your husband can't agree on whether to provide equal financial assistance to your three kids. Your husband may believe one child needs more support because of their circumstances or what they have done for you. You may think the other two deserve and need to be helped as well. How can parents keep a healthy family dynamic when one or more of their adult kids need help? Couples usually love their children and want to help, but their handouts may come at the expense of their own retirement planning. There's no getting around the anxiety – and the money math – of just how much help their kids need. In this case, Mom and Dad are also a house divided. If you're a parent and this scenario sounds familiar, you may already know that supporting your adult children financially is hard work. But your marriage and relationships with your kids can benefit greatly from some advance planning. Have a long discussion with your partner on these points. Getting on the same page with your spouse is the first step before giving your adult children any significant sum of money and can help avoid future arguments. Don't overextend yourself: Budget just how much you can afford to give without jeopardizing your own financial health. While being able to help our kids at any age seems like the right thing to do, a new study from found nearly 50% of parents who financially support at least one adult child say they have sacrificed their financial security to help their grown kids financially. Will you provide just the essentials? Pay off credit debt? Finance their future financial dreams or goals? Such questions are worth resolving first before anyone's asked for a dime. Decide on fairness: Decide if you're going to give each child an equal amount or if you will adjust based on their situation. Does one deserve more help than the other two? 'Maybe one kid lost their job, or maybe they're having a harder time getting a business off the ground,' said Leslie Tayne, a financial attorney and author of the book Life & Debt, to Synchrony Bank. 'These are all OK times to help out one child more than another.' Read more: You're probably already overpaying for this 1 'must-have' expense — and thanks to Trump's tariffs, your monthly bill could soar even higher. Here's how 2 minutes can protect your wallet right now The blog post added: "But all financial professionals caution against allowing an adult child's short-term financial need to become long-term financial dependency." There's no easy answer, but it's time to think carefully about your reasons and what impact your actions have. Determine if your help is based on your child's financial behavior. If the money is helping with discretionary spending or anything other than the everyday basics, it's fair to scrutinize the help and ask if feeding a child's poor spending habits is doing more harm than good. Consider if your support for one child is affecting their motivation or drive. Is your eldest really in more need of help than the other two or is she making a choice to rely on you more? If you've decided to set limits on how much you can give to each child, you need to communicate that to them. Be clear on your own financial goals and retirement plans so your kids know what you can afford. Being firm on what you're willing to fund and for how long is critical, so your children know you haven't morphed into a 24-7 ATM. Communicate your support boundaries, and expect pushback. But now that you're aligned as parents, you're ready to stand your ground. Be specific, too. For instance, for your first child, consider calculating their exact monthly rent and for how many months you're willing to pay it. If you can't give lots of money to your adult children, you can still support them emotionally and encourage success. Offer help on their resumes, interview skills, money-saving tips, and offer to help them find a life or financial coach if needed. Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan 'works every single time' to kill debt, get rich in America — and that 'anyone' can do it Rich, young Americans are ditching the stormy stock market — here are the alternative assets they're banking on instead Robert Kiyosaki warns of a 'Greater Depression' coming to the US — with millions of Americans going poor. But he says these 2 'easy-money' assets will bring in 'great wealth'. How to get in now Here are 5 'must have' items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you? This article provides information only and should not be construed as advice. It is provided without warranty of any kind. Sign in to access your portfolio
Yahoo
10-05-2025
- Business
- Yahoo
A shocking 50% of America's parents of adult kids still support them financially — to the tune of $1,500/month
The cost-of-living crisis has pushed many young Americans to rely on the bank of mom and dad to make ends meet. According to a recent report by roughly 50% of Americans with children over 18 provide regular financial support. On average, these young adults received $1,474 in monthly support, with the average Gen Z American expected to receive $1,813 per month and the average millennial expected to receive $863 monthly in 2025. Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's how I'm 49 years old and have nothing saved for retirement — what should I do? Don't panic. Here are 5 of the easiest ways you can catch up (and fast) Nervous about the stock market in 2025? Find out how you can access this $1B private real estate fund (with as little as $10) However, parents also face the same cost-of-living challenges as their children. Here's how their efforts to support their adult children could be putting their financial future and retirement at risk. also found that working parents who financially support their adult children spend more than twice as much on this support as they do on monthly retirement contributions. On average, these parents are setting aside just $673 for their nest egg, according to the report. Seniors across the country already face a retirement crisis. Nearly 20% of adults over the age of 50 have no retirement savings at all, according to AARP. Meanwhile, 61% of them worry about running out of funds after they leave the workforce. A shocking 80% of seniors across America are either financially struggling now or are at risk for economic insecurity in retirement, according to a 2024 survey by the National Council on Aging. Many parents risk becoming part of this cohort of struggling retirees by contributing more to their children's lifestyle than their own savings and investment accounts. Here's how you can avoid the same trap. Read more: BlackRock CEO Larry Fink has an important message for the next wave of American retirees — here's how he says you can best weather the US retirement crisis Although you may feel obligated to assist your children, you also have an obligation to your future self. Balancing the needs of your retirement planning and those of your children is tricky, but essential. It is a good idea to have an open conversation with your adult children and to set clear limits and boundaries on your financial assistance. For instance, you could set a hard limit on how much you give them to keep those monthly payments below that of your investment contributions. You could also offer financial assistance with strings attached. If your child wants to keep receiving monthly assistance, encourage them to look for new employment, side gigs or further education. You could also offer assistance as a loan with a fixed repayment agreement. According to 77% of financially supportive parents have specific conditions attached to their monthly payments. Finally, you could also set an age limit for assistance. Cutting kids off at 25 or 30 seems reasonable, and a time limit could encourage your children to make arrangements for their economic independence. found that while 18% of parents expect to continue supporting their adult children in perpetuity, most hope to wean them off within four years or less. Setting boundaries could require uncomfortable discussions with your kids. However, managing expectations is critical if you don't want your plan for financial security to jeopardize your relationships. Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan 'works every single time' to kill debt, get rich in America — and that 'anyone' can do it Rich, young Americans are ditching the stormy stock market — here are the alternative assets they're banking on instead Robert Kiyosaki warns of a 'Greater Depression' coming to the US — with millions of Americans going poor. But he says these 2 'easy-money' assets will bring in 'great wealth'. How to get in now This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
Yahoo
07-05-2025
- Business
- Yahoo
Are you still supporting your Gen Z kid? It may do more harm than good.
Times are changing. Young adults are increasingly relying on their parents to get by today. A new report shows 50% of parents are still providing some sort of financial support to a child over the age of 18. And in turn, many of them are sacrificing their own financial security. The new report from found that parents are shelling out more than $1,400 per month to help their grown children. That's up 6% from last year, marking a three-year high. Generation Z adults (ages 18-28) are the highest recipients of financial help. However, their Millennial counterparts (ages 29-44), who have had time to build their own income streams, still need the extra help. The report shows a majority of parents help their children with groceries, and more than half still pay for their phone plan as well. Many Gen Zers remain on their parents' health insurance plans due to increased age limits, a benefit fewer millennials have. When it comes to housing, the numbers are fairly similar: 66% of parents provide financial help for housing to their Gen Z children, while 58% do the same for millennials. Opinion: Florida must stop its war on tourism. It could hurt jobs and communities. A third of Gen Z lives with their parents It's no surprise why young adults need the help. Year after year we see rising costs across a variety of expenses, including housing, healthcare and everyday living. Economists say 2023 was the least affordable homebuying year in more than a decade. These are among the reasons one-third of Gen Zers today are living with their parents. Gone are the days when our children walked out of the house for the last time after graduating from college, or even high school. Instead, they are dragged down by student loan debt and earning wages barely enough to keep them afloat for the first one to three years in adulthood. Studies show that college graduates today often overestimate their likely starting salaries by as much as $30,000, leading them to live beyond their means. This is when many parents step in to offer the financial support their children need. Parents often don't see their 'help' adding up. It's $50 here and there, or just $300 extra per month for rent. But when you calculate how much all the assistance adds up to, you'd be surprised. Consider that family cell phone plans usually cost $100 to $150 per month – with one line costing about $50 per month. The average monthly premium for someone's health insurance today is about $438. Plus, the average annual cost for auto insurance is $1,592, which comes out to about $133 each month. Altogether, that's roughly $621 per month in extra expenses for your child. And you can double or triple that if you have multiple kids. Parents are sacrificing to help their adult children While supporting adult children has shown to be sometimes necessary, parents need to balance this assistance with protecting their own financial future. The report shows that 60% of parents who completed the survey admitted to sacrificing their own financial well-being to support their adult children. The reality of the situation means parents may lose out on their retirement plans and unintentionally create long-term dependency in their adult kids. It's crucial for parents to find a balance between supporting their children and protecting their own financial future. One way to achieve this is by encouraging financial independence and setting clear boundaries. It can be as easy as setting up a budget and savings plan with your child, or as challenging as creating a timeline for when financial support will end. Opinion: As Florida criminalizes homelessness, she sought refuge in my storage facility Setting boundaries is essential in order to protect yourself from overextending your help. Many parents will establish timelines for their assistance. Perhaps it's covering rent for six months until your child finds a full-time job. Parents can also pick and choose what they want to help support. You can offer to cover their cell phone plan and car insurance if they are fully responsible for groceries and rent. Or you can require a contribution or repayment. This might mean offering to help with student loan payments only if they also contribute 15% of their paycheck. Brent Lister, President and CEO of First Florida Credit Union The financial landscape today is vastly different from what it was when parents were young adults, and it's understandable that parents want to help their children navigate a challenging and often unforgiving world. But there is a line where additional financial support can do more harm than good. Brent Lister is president and CEO of First Florida Credit Union. This article originally appeared on Palm Beach Post: Gen Z financial support from parents could hurt everyone | Opinion
The Hill
06-05-2025
- Business
- The Hill
Americans are having fewer kids due to money concerns: Survey
With the cost of raising a child nearing $300,000, many parents are rethinking just how many kids they can afford. According to a recent LendingTree survey, almost half (46 percent) of parents with young children said they have fewer kids due to financial constraints. And 77 percent said raising children has been far more expensive than they expected. Those challenges aren't imagined. Over the past two years, the annual cost of raising a small child has surged from $21,681 to $29,419 — a 36 percent jump, LendingTree found. Much of that increase is due to skyrocketing day care costs, which rose more than 50 percent over the same period. Parents in the U.S. can now expect to spend $297,674 raising a child to adulthood — and financial support often doesn't end there. A recent report found that half of all parents are providing regular financial assistance to their adult children. Perhaps most alarming, about two-thirds (64 percent) of parents surveyed by LendingTree said they have gone into debt to make ends meet for their kids. Financial strain appears to be a key reason Americans are having fewer children. Recent CDC data shows that the U.S. fertility rate remained near a record low in 2024, continuing a yearslong trend that has alarmed demographers and drawn the attention of President Trump and his administration. Now, Trump is reportedly considering a $5,000 cash 'baby bonus' for new mothers. Another proposal, according to The New York Times, would reserve 30 percent of scholarships in the prestigious Fulbright program for applicants who are married or have children. When asked which factors would make raising kids easier, many parents (52 percent) said 'more financial resources,' followed by 39 percent who want workplace flexibility like paid leave and remote work, according to LendingTree. Some 28 percent said affordable childcare would make raising kids easier. LendingTree's findings come from an online survey of 630 parents with kids younger than 18. The poll was conducted from March 4-6.
Yahoo
05-05-2025
- Business
- Yahoo
Americans are having fewer kids due to money concerns: Survey
(NewsNation) — With the cost of raising a child nearing $300,000, many parents are rethinking just how many kids they can afford. According to a recent LendingTree survey, almost half (46%) of parents with young children said they have fewer kids due to financial constraints. And 77% said raising children has been far more expensive than they expected. Would $5K 'baby bonus' be enough to boost US birth rate? Those challenges aren't imagined. Over the past two years, the annual cost of raising a small child has surged from $21,681 to $29,419 — a 36% jump, LendingTree found. Much of that increase is due to skyrocketing day care costs, which rose more than 50% over the same period. Parents in the U.S. can now expect to spend $297,674 raising a child to adulthood — and financial support often doesn't end there. A recent report found that half of all parents are providing regular financial assistance to their adult children. Perhaps most alarming, about two-thirds (64%) of parents surveyed by LendingTree said they have gone into debt to make ends meet for their kids. Financial strain appears to be a key reason Americans are having fewer children. $5K baby bonuses not likely to meaningfully increase US birth rate: Demographer Recent CDC data shows that the U.S. fertility rate remained near a record low in 2024, continuing a yearslong trend that has alarmed demographers and drawn the attention of the Trump administration. Now, Trump is reportedly considering a $5,000 cash 'baby bonus' for new mothers. Another proposal, according to The New York Times, would reserve 30% of scholarships in the prestigious Fulbright program for applicants who are married or have children. When asked which factors would make raising kids easier, most parents (52%) said 'more financial resources,' followed by 39% who want workplace flexibility like paid leave and remote work, according to LendingTree. Some 28% said affordable child care would make raising kids easier. LendingTree's findings come from an online survey of 630 parents with kids younger than 18. The poll was conducted from March 4 to 6, 2025. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
