The Blubber

Millennials may be nearing 40, but many are still receiving financial help from their parents to make ends meet.

Roughly half of parents in the U.S. provide financial support to at least one adult child over the age of 18, according to a recent report from Savings. Gen Z adults receive the most—averaging $1,813 per month—while millennials get around $863. This level of parental support is at a three-year high, as inflation continues to put pressure on workers across all age groups.

The report notes that Gen Z tends to receive more help because they are early in their careers and haven’t yet established stable income, whereas millennials, now between 29 and 44 years old, are further along professionally and generally more financially independent.

Although over 92% of Gen Z adults are employed full-time, many are still struggling to cover basic expenses. As a result, parents are stepping in, even while managing their own financial challenges—and many say they won’t be able to keep doing so for much longer.

How parents are helping Gen Z children

With the cost of living continuing to climb, groceries are becoming a stretch for many young people. Parents are stepping up to cover everyday essentials—contributing an average of $220 per month toward groceries for their adult children, according to the report.

Among parents who provide support, 87% help with food expenses, 73% cover cell phone bills, and 69% contribute to health insurance. Additionally, 66% assist with rent or mortgage payments, while 57% also help cover tuition costs.

However, this level of support may be impacting parents’ own financial well-being. On average, working parents spend 2.3 times more on their adult children each month than they put toward their own retirement—$1,589 for their kids versus $673 into retirement savings.

The report found that 47% of parents say they’ve compromised their financial stability to support their adult children. Four in ten said they’ve felt pressure to provide help even at the expense of their own comfort, and nearly 90% said they would be willing to make further financial sacrifices to continue helping their working-age children.