According to a 2016 Fidelity study, 47% of millennials have received some sort of monetary support from their parents. This support was “most likely to take the form of help with a cell phone bill, utilities or groceries.”
The cost to raise children today is much more expensive than ever before in history. In fact, between 2000 and 2010, the cost to raise a child increased 40% or $60,000. The most recent estimate from the USDA is that the cost to raise a child from birth to the age of 18, not including college, is $233,610.
If you’re taking money from Mom and Dad, you’re part of the problem. They’ve spent enough just to raise you, and now you’re asking for moar?
Every generation since the 1980s lives with their parents longer or boomerang back to the nest more frequently than the generation before them. Boomerang kids are now at its highest level since World War II.
When is enough enough?
Here are eight signs when it’s time to kindly thank Mom and Dad for their investment and walk away.
You have a job.
If you have a job, start cutting back on your parental monetary fund. Even if you only cut back a little at a time because you’re starting your career, the goal should be to become fiscally independent as soon as reasonably possible.
If you find your fiscal dependency is scheduled to last in perpetuity, you’re not doing it right.
You don’t have a job, but should.
If you don’t have a job but should, it’s time to grow up and get a job. Over time, complaints about the economy, who’s president, who’s not president, fairness or unfairness of life are excuses.
As entrepreneur and author Ryan Blair said, “If it’s important to you, you will find a way. If not, you’ll find an excuse.” Over time, you own your lack of employment or your underemployment.
Stop taking money from Mom and Dad and get make your own money. Everyone will be much happier in the long run.
You hear your parents fighting about money.
As much as the cost of having and raising children have grown, so too has the cost of adulting.
Adult expenses, such as healthcare, medicine, and taxes have grown and wages have not. This means it’s harder and harder for Mom and Dad to get by from paycheck to paycheck.
By 35%, money is the leading cause of stress in relationships. Don’t add to Mom and Dad’s financial stress by being a financial leech. If you hear or sense financial friction between Mom and Dad, it’s time for you to become economically independent.
Your parents drop hints that it’s time you pay your own way.
It’s often hard for parents to push their kids fully and completely out of the proverbial nest. Therefore, they’ll drop sly or even passive-aggressive hints that it’s time you pay your on way.
If you hear comments such as “It would be nice if someone paid for me once in a while” or “It’s nice you have all that money (even when you don’t pay for a thing),” it may be time you paid for your own things.
Stop taking money from Mom and Dad when even they have exhausted their patience. You’re not that special.
Your parents are approaching retirement.
It’s more expensive to retire in America than ever. This trend has continued for decades over many presidential administrations.
Older Americans are finding it harder to hold onto jobs, if they can even retain incomes that keep up with the rate of inflation. As housing, healthcare, and prescription drugs costs increase, Social Security becomes less and less helpful.
Many parents have sacrificed retirement nest eggs to put children through college. As you may be struggling with student loan debt, Mom and Dad may be struggling with retirement insecurity.
As your parents approach retirement, within maybe decades, it’s time to stop stealing from their future.
Put on your big-person pants, stop taking money from Mom and Dad, and become a contributing member of society.
When your parents are in retirement.
If your parents are in retirement and you’re still taking their money, stop.
When you have nicer things than your parents.
If any or all aspects of your life (think: car, vacations, home, phone) are nicer than your parent’s, then it’s time to stop relying on parental funding.
Sure, mom may not need or want the new iPhone and dad may hate the idea of taking on a new car payment. That doesn’t mean they want to forsake a fat retirement account for your “phat” lifestyle.
If you’re living like The Kardashians and they’re living like Rosanne and Dan Conner, it’s time to cut the purse strings.
When you can cover your own essentials.
There will always be parents who can’t stop giving money to their children and grandchildren. It’s cute when grandparents give money to grandchildren. It’s not cute when parents give money to adult children.
While there may be many reasons for their drive to do so, there’s one reason to make them stop. You don’t need their money.
These are just a few of the reason to stop making Mom and Dad take care of you. At some point, it’s not their responsibility to take care of you. You need to stop taking money from Mom and Dad.
Do both them and yourself a favor and make this decision independently. And do it sooner rather than later. You’ll both be happier for it.
Like what you’ve read?
Join other #adults who receive free weekly updates.
For a limited time you’ll receive our new book, The Best Bank Accounts for Adults, when you sign up!