What if your child boomerangs back?

September 24, 2017 • Lifestyle

An empty nest won’t necessarily remain empty. According to Statistics Canada, 42% of young adults aged 20 to 29 live with their parents. Even at ages 25 to 29, 25% are back home.¹

A child can move home for any number of reasons — a low-paying job, unemployment, an ended relationship. Or a child might be gainfully employed but saving for a down payment on a home.

Whatever the reason, you’ll need to plan for the financial consequences, from covering their cost of living to postponing your plans to downsize. And you can’t expect your child to contribute financially when cash is the problem. Only 10% of young adults in their 20s living with their parents contribute to household expenses.¹

If your child does return, it’s important to communicate and reach an understanding of the terms of living back home. Perhaps you’ll ask for help with household chores and upkeep. You’ll need to discuss what costs you will or will not cover, like cell phone bills and car insurance. Then there’s the biggest discussion of all — your child’s plan to become financially independent and live in their own place.

 

¹ Statistics Canada, National Household Survey, 2011.

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