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Talking to grown up children about money



If a grown-up child is living at home, getting them to contribute to the household finances is one way to help them to be financially independent in the future.

 

Communicating clearly and kindly is important. If you’ve never told them before, they might not even realise how much the financial support you give them costs you.

List the ways they can start to contribute. Then, together, create a plan with a start date to make this contribution a reality. For example:


·      how much will they contribute towards the rent or mortgage each week

·      what household bills will they contribute to, and how much?

·      are there any jobs that you might have paid someone else to do, such as redecorating

that they could do towards their share of the rent, mortgage or bills?

·      how will they contribute to any unexpected household expenses that crop up?

 

Encourage use of a budget

Talk about:

·      income versus outgoings

·      fixed expenses (such as household bills) versus discretionary expenses (such as entertainment)

·      saving for wants (such as a holiday) versus emergency funds for needs (such as the car not passing the MOT).

 

Encourage career ambitions

If they don’t contribute financially because they don’t have a job, discuss their plans for getting one and perhaps help them with their job search.

Even if they are on benefits, you still have a right to ask for some contribution.

 

Help them overcome and avoid debt

Perhaps they’re facing debt, such as student loans or credit cards. 

·      Discuss the options for repaying current debts and/or help them access professional debt advice. 

·      Discuss how to avoid debt in future

·      If you do decide to help them financially, make sure it comes with conditions in order to encourage financial responsibility. 


This information has been tailored from one of our trusted resources, Money Helper, a website run by HM Government  www.moneyhelper.org.uk.


PWCAC is OPEN for face-to-face advice (appointments and drop-ins) Monday to Friday, 9:30 – 1:30. If you need advice about consumer issues, housing and homelessness, debt, relationship breakdown, welfare benefits or anything else, get in touch with us: 

info@pwadvice.org | 01892 838619   94 Commercial Road, Paddock Wood, TN12 6DP

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