A growing wave of American parents are putting their own financial health and retirement plans at risk to help their adult children stay afloat—often at significant personal expense. Recent surveys and first-person accounts reveal that nearly half of American parents are now providing some level of financial assistance to their children over 18, signaling a profound shift in traditional family economics. Rising living costs, stagnating wages, and soaring housing prices have made it increasingly difficult for young adults to become financially independent, prompting many to return to the family home and rely on parental support long into adulthood.
The struggle faced by families like one in Sherman Oaks, California—where a woman in her sixties and her husband are spending over $5,000 a month to support their 27-year-old daughter who moved back in—speaks to the heart of this trend. As reported by Union Rayo, what was once a stepping stone towards independence has, for many families, become a long-term burden that threatens parents’ lifelong savings and dreams of financial stability. The case exemplifies how the so-called “empty nest” phase is vanishing for countless American families, overtaken by the new reality of adult children returning home due to economic insecurity (Union Rayo).
Background research reinforces this headline. A 2025 study by Savings.com found that 50% of US parents with children over 18 now provide them with some form of financial support, a record high (NBC News). On average, these parents are paying out about $1,474 each month for their grown children, a figure that includes contributions toward essentials like rent, groceries, transportation, and even pet care. The dramatic rise in “boomerang” children—adults returning home to live with parents—reflects not only personal family stories but a larger social trend driven by inflation and rising expenses outpacing wage growth.
This scenario is not limited to anecdotal accounts. Pew Research reports that 60% of US parents with children ages 18 to 34 provided financial assistance in 2023 (Kiplinger). While most parental support goes toward household expenses (28%), technology and subscription services (25%), and rent or mortgage (17%), the reality is that more than a third of these parents (36%) admit their assistance has hurt their own financial situation at least somewhat. Parents with lower incomes are particularly vulnerable: about half of those earning under $50,000 saying help for adult children hurt their finances directly (CNN).
The economic roots of this crisis are multidimensional. Millennials and Generation Z face stark obstacles: high student debt, an overheated rental market, and wages that have failed to keep up with the costs of living and housing. Even as these younger generations are more educated and often employed full-time, their buying power is diminished compared to previous generations. According to US Census data, about a third of adults ages 18 to 34 now live with their parents—a figure that climbs even higher in economic downturns (NBC News).
Financial planners warn this growing intergenerational dependency poses serious risks for parental retirement security. Almost two-thirds of parents supporting adult children say their own savings, ability to pay bills, and retirement contributions have suffered. These sacrifices often mean delaying retirement, selling homes, cancelling travel, or accruing new debt. In some cases, parents are forced to make “significant” sacrifices, severely reducing their emergency savings or interfering with their ability to pay off personal debt and save for retirement, according to Bankrate surveys (CNN).
Experts—such as certified financial planner Carolyn McClanahan and Bankrate analyst Ted Rossman—urge parents to set clear boundaries and prioritize their own future first. “Make sure the assistance [you give] works within your budget and be clear about the parameters,” Rossman advises, cautioning against open-ended commitments that could destroy parental safety nets (CNN).
Despite the financial strain, most parents continue to support adult children out of love, duty, and fear of seeing their children struggle. The emotional element is strong: around 74% of parents say that living with their adult children has had a positive impact on their relationship, even while the financial burden weighs heavily (Kiplinger). However, experts agree that difficult conversations about money, boundaries, and sustainability are urgently needed—taboos must be broken to ensure long-term well-being on both sides.
This predicament isn’t unique to the United States. Economic pressures are also forcing young adults in other developed countries, including Thailand, to remain financially dependent on their parents well into adulthood. In Thailand, the tradition of caring for elderly parents is deeply rooted in Buddhist and social values, yet urbanization and rising costs of living have made financial independence increasingly elusive for many young Thais. The erosion of job security, combined with high household debt and the impact of COVID-19 on the economy, has meant that more young adults are staying in the family home longer—and requiring ongoing financial support (Bangkok Post).
Thailand’s situation is further complicated by cultural expectations: adult children are traditionally expected to contribute to household economies or take over family responsibilities. However, the growing lack of affordable housing and relatively low starting salaries in major cities like Bangkok and Chiang Mai put new stress on the ability of young adults to become truly self-reliant. Thai researchers and policymakers warn that this dynamic may increase the financial vulnerability of older generations and deepen social inequalities—a concern echoed by social scientists studying multigenerational households worldwide.
There is a cultural shift underway too, as the concept of the “empty nest” loses meaning. Rather than anticipating a peaceful retirement, many parents now expect to support their children well into adulthood, often at substantial personal cost. This new normal is prompting broader conversations about the meaning of family obligations, the limits of parental sacrifice, and the consequences for national populations facing rapid aging and falling birthrates—a challenge that resonates in both the US and Thailand.
Looking ahead, experts foresee this pattern continuing unless there is broad-based affordability reform—especially in housing, education, and healthcare. Without intervention, parental retirement delays and depleted savings may become increasingly common, fundamentally altering expectations for both generations. Policymakers in Thailand and other countries are being urged to consider solutions such as improving job security, regulating rent, offering targeted financial education, and providing social safety nets for both young adults and the elderly.
For Thai parents and families facing similar pressures, several recommendations stand out. First, open and honest dialogue about finances and expectations is crucial. Families should seek expert advice from certified planners or trusted nonprofit organizations, and proactively set clear ground rules for the scope and duration of support. Second, parents should prioritize their own emergency funds and retirement plans first—a financial lifeline for both themselves and their children in the long run. Third, policymakers and community leaders should focus on expanding access to affordable housing, jobs, and education, reducing the financial barriers that force young adults into dependency. Finally, all stakeholders must recognize that family harmony and security depend on balancing traditional expectations with economic realities, fostering resilience and self-sufficiency for future generations.
For Thai readers, this issue highlights the importance of honest communication and mutual support within families as economic pressures mount. Seeking professional guidance and being transparent about financial capabilities can help families avoid long-term hardship. More broadly, it underscores the need for society-wide reforms to promote a future where young adults can thrive independently without sacrificing their parents’ well-being.
Sources:
- Union Rayo: Goodbye to financial stability—thousands of parents in the US are sacrificing their economic future to help their adult children
- NBC News: 50% of parents financially support adult children
- Kiplinger: 60% of Parents Pay Bills For Adult Children
- CNN: How long should you support your adult children? Parents—and their kids—weigh in
- Bangkok Post: Nearly 4 in 10 young Thais still live with their parents