Why You Need To Cut Your Kids Off — and How To Do It

Why You Need To Cut Your Kids Off — and How To Do It

By Gabrielle Olya

Find out how to stop enabling your grown child.

If you're an empty nester who's still financially supporting your adult children, you're not alone. A survey of more than 1,800 empty nesters across the country conducted by 55places, an adult community comparison site, found that nearly 40% are still financially supporting their children in some way. Those who are still providing financial support spend an average of $254 per month on their child or children, with the most common expenses being cellphone plans, rent and groceries.

Although you might feel compelled to lend a helping financial hand to your kids, doing so can put you at risk of jeopardizing your own finances and retirement plans. Take these steps to cut off your children so you can retire comfortably one day.

One-Third of Parents Said They Would Delay Retirement To Help Their Kids Financially

According to a separate survey conducted by Ameriprise, about one-third of Americans ages 30 to 69 with at least $100,000 in investable assets have delayed their own retirements or would do so to help their kids pay for college. The survey also found that 80% of respondents either have given or plan to give financial assistance to their children to pay for their first car. Another 78% either have contributed or plan to contribute toward their children's wedding expenses, while 40% either have contributed or plan to contribute toward their children's first home purchase.

Before you reach into your wallet, make sure you know the risks of continuing to provide financial help to your kids.

Paying For Your Kids Can Hinder Their Ability To Be Financially Independent

Allowing your grown children to lean on you financially can end up hurting them in the long run, said Ryan Moore, founder and CEO of Kingman Financial Group in Corpus Christi, Texas.

"If you’re a parent financially supporting children into adulthood, you’re enabling them to be reliant on your financial support for the rest of their lives," he said. "It’s critical that you teach your children the value and responsibility of earning and managing money."

It Can Harm Your Own Financial Health

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