A recent 
1 in 3 Adult Children Already Assisting Their Parents Financially
Another survey, conducted in 2020 by GoHealth, Inc., explored GenXers’ and millennials’ involvement in their parents’ financial and health care needs. It found that one in three GenXers and millennials are supporting their parents financially. Nearly the same number are managing, or helping to manage, their parents’ health care.
The survey’s 2,000 GenX and millennial respondents also reported the following:
- On average, they spend 11.5 hours per week managing their parents’ health care by providing transportation, scheduling doctor visits, and explaining insurance claims. They also estimate they’ll spend 14 to 16 years continuing to do so.
- 2 in 5 spent more than $10,000 of their own money supporting their parents in 2020.
- The vast majority (86% of GenXers and 82% of millennials) worry about having enough money to support themselves and their parents.
Squeezing the Sandwich Generation
Adult children will continue to feel the pressure for the foreseeable future. Every day, on average, 10,000 Boomers (those born between 1946 and 1964) reach age 65, and another 10,000 of them turn 75. According to research by the Blackstone Group, an independent research firm, nearly 80% of middle-income Boomers do not have any savings designated to cover their retirement care.
Meanwhile, 30 million Boomers retired from the workforce amid the COVID-19 pandemic. Saddled with college debt, as well as rising inflation and housing costs, those GenXers and millennials who still depend on their parents for financial assistance or housing may no longer be able to count on that support.
Have "The Talk"
It’s important for families to have an honest and respectful financial conversation before a medical event occurs or the need for care arises. Talking about money with aging parents can be a delicate matter, but it’s necessary to understand both the degree of care that may be needed and the financial resources available to provide it.
For help planning for the future of your Boomer parents, or for your GenXer and millennial children, consult a licensed and qualified financial professional. We recommend the advisors at Pence Wealth Management.
Much of the content of this article is courtesy of ElderLawAnswers.com
