The theme this week on the Retirement Quick Tips Podcast is: How To Stop Financially Supporting Your Adult Children. 

All this week, I’ve been talking about how financially supporting adult children is likely to be hurting your finances and your retirement security, and how common it is that you have a boomerang child of your own that you’re financially supporting. 

I want to transition today into talking about strategies for having an honest conversation with your children and setting expectations so they can become financially independent. 

First of all, it’s important to note that there is a big disconnect between the perceptions of your finances and your actual finances. A Pew Research study found that 72% of kids who moved home believe their parents can financially support them, yet just 21% of parents agree.

So the first step is to just talk with your kids and begin to set some boundaries. For example, let’s say you have a child living at home rent-free who is working part-time. You are also paying for most of his or her bills and they’re still on your health insurance plan. 

Start by reminding yourself that you should not feel guilty about setting boundaries and expectations. And what are those boundaries? It’s reasonable to expect your adult child to pay for most or all of their own expenses and contribute to the household by paying rent if they’re living with you. This will ensure that they’re incentivized to work and find meaningful employment and a career of their own. Making it too easy for children to live comfortably with you will not help them learn to manage their own money or be financially independent in the long-run.

Secondly, it’s important to calculate how much you can afford to help out your adult child. Many parents help out their adult children in substantial ways. Let’s say you’re paying an extra $1000/month to support your adult child. That’s $12,000 a year that you’re not saving for retirement in the last few critical years before retirement.If you’re compromising your own retirement security to financially support your adult children, are they going to be able to take care of you in the future the way you are taking care of them now?  

Another useful tip, other than just having frank conversations with your kids and setting expectations is to get to the root of the problem. 

Does your adult child have a crushing debt load? Is finding affordable housing the issue? Are they having trouble finding a job? If you can address the real issue rather than putting a bandaid on the problem by financially supporting them in their current situation, you can help them out of their problem and get them to a place of financial independence much sooner. 

That’s it for today. Thanks for listening! My name is Ashley Micciche and this is the Retirement Quick Tips podcast.  

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Tags: retirement, investing, money, finance, financial planning, retirement planning, saving money, personal finance

The theme this week on the Retirement Quick Tips Podcast is: How To Stop Financially Supporting Your Adult Children. As I mentioned earlier this week, At the peak of the pandemic, 52% of young adults between 18-24 years old moved back in with their parents, according to data from the Pew Research Center. But more than two years later, 40% of parents are still hosting their adult child in their home, and in many cases, financially supporting them. 

A survey by Thrivent, a financial services firm, found that 35% of parents with adult children at home have compromised their retirement savings to help their children financially. 

Another study from Savings.com found that 50% of parents give their adult children $1,000 a month in financial support, and 25% are willing to dip into their savings and retirement to cover the expense.  

This is not good news for your retirement. Relatively few Americans have enough to fund their own retirement, so dipping into your savings, especially if it’s to fund the expenses of able-bodied adult children is not a good idea. 

It’s also interesting to note that continuing to help adult children is causing a meaningful delay in retirement. In fact, only 21% of baby boomers who support their adult children are retired, compared with 52% of baby boomer households whose adult children are financially independent, according to a survey by Hearts & Wallets, comprised of more than 30,000 household interviews.

In other words, you’re more than twice as likely to not be able to retire as your boomer counterparts with financially independent children. 

Tomorrow, I’ll share with you some ideas on how to lovingly push your adult children back out of the nest.

That’s it for today. Thanks for listening! My name is Ashley Micciche and this is the Retirement Quick Tips podcast.  

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>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

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>>> Visit the podcast page: https://truenorthra.com/podcast/ 

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Tags: retirement, investing, money, finance, financial planning, retirement planning, saving money, personal finance

The theme this week on the Retirement Quick Tips Podcast is: How To Stop Financially Supporting Your Adult Children.

I talked yesterday about how common it is now for adult children to return to the nest, and often that places a financial burden on you as the parent.

So today, I’m going to dive a little deeper to discuss what parents are bankrolling for their adult children. Eighty percent of parents with adult children are paying or have paid for at least some expenses for those children after age 18, according to a survey on the spending and saving habits of US adults by Harris Poll on behalf of NerdWallet.

This is a little misleading because it includes parents who are helping their adult child through college as well - paying for tuition and living expenses. 

But when you dig a little deeper, you see that’s not all parents are bankrolling for their adult children. The survey found that parents of adult children were paying or had paid for the following:

• 56% for groceries
• 40% for health insurance
• 21% for rent or housing outside the family home
• 39% for the child's phone bill
• 34% for car insurance

If you find yourself paying for these expenses for your adult children, it might be time to ask yourself if you can actually afford to continue supporting your adult children, and what that might be costing you in terms of your own financial security in retirement.

That’s what we’ll look closer at tomorrow. 

That’s it for today. Thanks for listening! My name is Ashley Micciche and this is the Retirement Quick Tips podcast.  

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>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Visit the podcast page: https://truenorthra.com/podcast/ 

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Tags: retirement, investing, money, finance, financial planning, retirement planning, saving money, personal finance

The theme this week on the Retirement Quick Tips Podcast is: How To Stop Financially Supporting Your Adult Children. 

In July 2020, 52% of 18- to 29-year-olds were living with their parents – the highest proportion recorded since the Great Depression. These adult children who leave the nest and then return home are called boomerang kids. And if you have a boomerang kid of your own, chances are you’re supporting them financially and it’s putting a strain on your finances and your outlook for retirement. 

Today, I’m talking about why there’s been such a big jump in boomerang kids returning to the nest.

As I just noted, during Covid, over half of 18-29 year olds were living with their parents. Covid upended a lot of young people from school and cities and drove them back home to live with mom and dad, but this trend started long before Covid. 

This is a trend that has been gaining momentum since the Great Recession. I graduated college in 2007, just before the Great Recession. I remember many of my friends struggled to find jobs post-college, and the overhang from the Great Recession lasted for several years. From 2005 to 2013, the % of boomerang kids had increased significantly, according to a Pew Research study.

Beyond the struggles in the economy in the mid-late 2000’s, there was also less stigma associated with moving back home, young adults finding a mate and getting married and having kids much later, and the debt loads of young adults has only become much worse in the last 15 years, paving the way for more than half of young people to move in with mom and dad.

So if Junior is still living in the basement rent-free and you’re paying for his cell phone bill and health insurance, you’re not alone. 

That’s it for today. Thanks for listening! My name is Ashley Micciche and this is the Retirement Quick Tips podcast.  

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>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

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>>> Visit the podcast page: https://truenorthra.com/podcast/ 

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Tags: retirement, investing, money, finance, financial planning, retirement planning, saving money, personal finance

Welcome to a new week here on the Retirement Quick Tips podcast! 

I’m your host Ashley Micciche, co-owner of True North Retirement Advisors, an independent financial advisory practice managing $340 million in client assets. I’m a Chartered Retirement Planning Counselor, and I started this podcast because I love helping people just like you gain clarity and make a plan for the retirement you envision. 

The theme this week on the podcast is: How To Stop Financially Supporting Your Adult Children

Have you heard of the boomerang kid? Perhaps you have a boomerang kid of your own. They are adult children who leave the nest, then boomerang back home and back onto the bankroll of mom and dad. 

According to the U.S. Census Bureau data from 2015, a third of young people–or 24 million of those aged 18 to 34–lived with their parents. That trend has worsened since the pandemic, leading many close-to-retirement age parents stuck with financially supporting their adult children, and falling behind on their own retirement savings as a result.

Many parents of boomerang kids would prefer to stop financially supporting their adult children, but for a variety of reasons, they feel stuck in their current circumstances. So this week, I’ll talk about how you can gracefully and lovingly push those boomerang kids back out of the nest, which will allow you to refocus on saving enough for your own retirement, so you won’t have to boomerang back to the boomerang kids when you’re 80 and outlived your assets. 

That’s it for today. Thanks for listening! Come on back tomorrow when I’ll talk about…

My name is Ashley Micciche...and this is the Retirement Quick Tips podcast.

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>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Visit the podcast page: https://truenorthra.com/podcast/ 

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Tags: retirement, investing, money, finance, financial planning, retirement planning, saving money, personal finance

It’s Sunday, which means...it’s recap time here on the Retirement Quick Tips Podcast

This week the theme was: Enrolling in medicare, do’s & don'ts 

In case you missed any episodes, here’s what we discussed in my interview with Medicare expert, Tim Becker this week…

• What to know when signing up for Medicare for the very first time
• Sorting through different Medicare plan options, finding the best resources and how to pick the best plan options for your situation
• Common and costly mistakes that people make with Medicare
• What the prescription drug donut hole is and how to avoid it
• What to know about the annual enrollment period and whether or not you’ll want to make changes to your medicare coverage if you’re already enrolled in Medicare

You can also check out the full interview, along with over 100 other videos on retirement on my YouTube channel - True North Retirement. 

The most important takeaway from this week is: Choosing the right medicare coverage plan lineup can be overwhelming and confusing, but there are people and resources out there to help you pick the right coverage and avoid costly mistakes. 

Tomorrow I’m starting a brand new weekly theme: How To Stop Financially Supporting Your Adult Children. It’s called boomerang kids. Adult children who leave the nest, then boomerang back home and back onto the bankroll of mom and dad. According to the U.S. Census Bureau, in 2015, a third of young people–or 24 million of those aged 18 to 34–lived with their parents. That trend has worsened since the pandemic, leading many close-to-retirement age parents stuck with supporting their adult children, and falling behind on their own retirement savings as a result.

So we’ll explore this more in depth next week, and what to do if you have a boomerang kid of your own. 

Thank you so much for listening this week! If you’re enjoying the podcast, chances are someone else you know who is getting close to retirement could also benefit from checking it out, so please share the show with a friend, a neighbor, your sister, or your boss. Just go to your favorite podcasting app, hit the share icon, then text or email the show link to someone you know who is eyeing retirement. 

Thanks for sharing the love and spreading the word. I hope you have a blessed Sunday. My name is Ashley Micciche, this is the Retirement Quick Tips Podcast.

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>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Visit the podcast page: https://truenorthra.com/podcast/ 

----------

Tags: retirement, investing, money, finance, financial planning, retirement planning, saving money, personal finance

The theme this week on the Retirement Quick Tips Podcast is: Enrolling In Medicare - Do’s & Don’ts. 

I’m bringing you segments of an interview I did with Medicare Expert, Tim Becker on some of the most important things to know when signing up for Medicare for the first time, and what you need to know about choosing plans during the annual enrollment period, which runs from mid-October to early December. 

Here is today’s interview segment with Tim Becker…

Questions about Medicare plans? Contact Tim Becker:

Timothy Becker 

(503) 809-5061

[email protected]

The theme this week on the Retirement Quick Tips Podcast is: Enrolling In Medicare - Do’s & Don’ts. 

I’m bringing you segments of an interview I did with Medicare Expert, Tim Becker on some of the most important things to know when signing up for Medicare for the first time, and what you need to know about choosing plans during the annual enrollment period, which runs from mid-October to early December. 

Here is today’s interview segment with Tim Becker…

Questions about Medicare plans? Contact Tim Becker:

Timothy Becker 

(503) 809-5061

[email protected]

The theme this week on the Retirement Quick Tips Podcast is: Enrolling In Medicare - Do’s & Don’ts. 

I’m bringing you segments of an interview I did with Medicare Expert, Tim Becker on some of the most important things to know when signing up for Medicare for the first time, and what you need to know about choosing plans during the annual enrollment period, which runs from mid-October to early December. 

Here is today’s interview segment with Tim Becker…

Questions about Medicare plans? Contact Tim Becker:

Timothy Becker 

(503) 809-5061

[email protected]

The theme this week on the Retirement Quick Tips Podcast is: Enrolling In Medicare - Do’s & Don’ts. 

I’m bringing you segments of an interview I did with Medicare Expert, Tim Becker on some of the most important things to know when signing up for Medicare for the first time, and what you need to know about choosing plans during the annual enrollment period, which runs from mid-October to early December. 

Here is today’s interview segment with Tim Becker…

Questions about Medicare plans? Contact Tim Becker:

Timothy Becker 

(503) 809-5061

[email protected]