Many young adults, either in a return or continuous stay, find themselves back in their childhood bedrooms. Recent analysis by the Pew Research Center reveals that over half of adults under 25 in the United States are residing with their parents, marking a significant shift from previous generations.
This trend of adult children living at home is at its peak since the era of the Great Depression, indicating a notable change in dynamics between Generation Z, millennials, and their Generation X and baby boomer parents. Surprisingly, a large majority of parents and adult children express satisfaction with this new arrangement, with 59 percent of young adults and 77 percent of parents describing their relationship as excellent or very good.
The study says that rising student loan debt and the rising cost of living are two main reasons why parents and their grown children are becoming more financially dependent on each other. While opinions vary among Christian financial advisors and parenting experts on the appropriate level of financial support parents should provide, many agree that this trend is not solely a result of a widespread failure to launch.
Based on data from surveys conducted in late 2023, the Pew report gathered insights from 3,017 parents and 1,495 young adults aged 18 to 34. The findings reveal that although 57 percent of young adults aged 18-24 live with their parents, this percentage decreases to around a third for all adults in the 18-34 age group. While a majority of young adults rely on their parents for financial support to some extent, this reliance diminishes as individuals reach their early thirties.
One example is Jen Norton from Fort Worth, Texas, who anticipated her daughter’s return home after completing her bachelor’s degree in theater in 2021. Factors such as the impact of the COVID-19 pandemic and a challenging job market for her daughter’s field influenced this decision. Despite not imposing rent or expenses on her daughter, allowing her to save money, Norton shared that the experience, though requiring adjustments due to her daughter’s unconventional schedule, brought them closer as a family.
Chuck Bentley, the CEO of Crown Financial Ministries, emphasizes the importance of distinguishing between fostering a healthy family dynamic and creating a dependency on parental support. He acknowledges the evolving trend where parents are more inclined to invest in their children’s immediate needs rather than preserving wealth for inheritance, reflecting a generational shift in financial practices.
Robert Netzly, CEO of Inspire Investing, echoes Bentley’s sentiment, highlighting the need for individualized approaches in supporting adult children financially. He stresses the value of hard work and contentment with modest means, drawing from his own upbringing by a single mother on food stamps.
The analysis by Pew also compares the achievements of young adults in 2022 with those of their counterparts from three decades ago, revealing higher college graduation rates and wages but also a significant increase in student debt. Lisa Anderson, director of young adults for Focus on the Family, criticizes the lack of guidance provided by boomer and Gen X parents in helping their children select degrees with practical value, leading many to struggle with student debt and job scarcity.
Despite the challenges posed by mounting student debt, Netzly remains optimistic, pointing out that the current generation has experienced relative abundance and a robust job market. He acknowledges the inherent difficulties in transitioning to adulthood and self-sufficiency, emphasizing the importance of perseverance and adaptability in overcoming obstacles.