22 March 2008
News and Comments - 03/22/08
Posted by Joy Bischoff under: What's News .
6 Comments so far...
Cameron Says:
22 March 2008 at 10:06 am.
Here is an interesting trend. How much can you help your children without it being detrimental. Parents that assume a level of financial support for their children over covering the essentials are not really doing them a favor in the long run. You get the same kinds of problems as when the government steps in.
Last hope in a weak economy? Mom and Dad
By EMILY FREDRIX, AP Business Writer Sat Mar 22, 5:10 AM ET
MILWAUKEE - After being laid off from her job as an events planner at an upscale resort, Jo Ann Bauer struggled financially. She worked at several lower-paying jobs, relocated to a new city and even declared bankruptcy.
Then in December, she finally accepted her parents’ invitation to move into their home — at age 52. “I’m back living in the bedroom that I grew up in,” she said.
Taking shelter with parents isn’t uncommon for young people in their 20s, especially when the job market is poor. But now the slumping economy and the credit crunch are forcing some children to do so later in life — even in middle age.
Financial planners report receiving many calls from parents seeking advice about taking in their grown children following divorces and layoffs.
Kim Foss Erickson, a financial planner in Roseville, Calif., north of Sacramento, said she has never seen older children, even those in their 50s, depending so much on their parents as in the last six months.
“This is not like, ‘OK, my son just graduated from college and needs to move back in’ type of thing,” she said. “These are 40- and 50-year-old children of my clients that they’re helping out.”
Parents “jeopardize their financial freedom by continuing to subsidize their children,” said Karin Maloney Stifler, a financial planner in Hudson, Ohio, and a board member of the Financial Planning Association. “We have a hard time saying no as a culture to our children, and they keep asking for more.”
Hank Says:
22 March 2008 at 10:22 am.
I’ve been seeing some of this around here and it will probably get a lot worse as the economy struggles. It may not be the best thing but it is better than letting family go homeless.
Saddened Says:
22 March 2008 at 8:06 pm.
Just stopped in the see what’s happening but looks like the Easter weekend has people busy. Have a great weekend everybody.
Jesse Says:
22 March 2008 at 8:54 pm.
Happy Easter everybody.
Cavetrollhead Says:
23 March 2008 at 2:49 am.
Christ has risen!
Cavetrollhead Says:
23 March 2008 at 2:54 am.
About that article Cameron,
I find it ironic that he says we haver a hard time IN OUR CULTURE saying no to our children. In eastern Europe, parents usually cooperate until late in life. The independence between children and parents is more of an American thing that in other cultures. So I think the opposite of this quote by ‘Karin Maloney Stifler, a financial planner in Hudson, Ohio, and a board member of the Financial Planning Association’
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