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One in five parents pay for adult children’s GROCERIES – 16% giving kids cash to secure a home loan 

More than five million Australians are willingly handing out cash to their children on a regular basis – with one in five parents still paying for their offspring’s groceries.

A shocking 61 per cent of parents financially support their children, with 22 per cent admitting they simply offer to help without being asked.

Mums and dads are helping with home loans, paying for phone bills and letting their adult children live rent-free, according to a new study conducted by

More than five million Australians are opting to financially support their adult children who struggle to manage their own money (stock image)

Although parents are more than willing to help, it could backfire in the future as their children will find it difficult to become financially independant.

The astonishing research shows that 10 per cent of parents help young adults because they don’t have a job, while 19 per cent pay for their children’s groceries.

Sixteen per cent of parents give their grown-up children money towards a deposit on a house or a car, while 14 per cent pay their household or mobile phone bills. 

Financial expert Bessie Hassan says that the transition to adulthood is increasingly difficult due to the rising cost of living, but it doesn’t excuse the behaviour.

‘Leaving the money training wheels on for too long can do more harm than good,’ Ms Hassan said. 

‘It can’t always be mum and dad to the rescue.’ 

It has been revealed that 61 per cent of parents support their children, with 22 per cent admitting that they simply offer to help (stock image)

It has been revealed that 61 per cent of parents support their children, with 22 per cent admitting that they simply offer to help (stock image)

The continued support from parents could be making it harder for young adults to understand the true value of money. 

Ms Hassan also says that if parents continue to provide too much, millennials may struggle to manage finances in the future.

Parents often help by giving cash handouts, buying groceries for their children, and taking out a loan in their name.



Getting children to contribute to household expenses is a good way to get them into a good savings habit.

In the ‘real world’ they may have to pay rent, so it’s good to learn the skill early.


Getting a child to pay for their own phone bill once they turn 18 may help them understand the cost of items and become financially responsible.

This could help them learn to pay for their own bills in the future without the help of mum and dad.


Help children go through their income and expenses to determine how much to put aside in savings each week.

This could help them aim to save for a house deposit. 


‘Millennials often get a bad rap for being lazy, but remember young Australians are studying for longer these days which may delay their entry into the workforce,’ she said.

It was also found that 11 per cent of parents are willing to help young adults through their studies, and a further 11 per cent provide support when their children want to save for a house deposit.

While parents are happy to support their children, it could cut into their retirement savings. 

‘Giving your kids some tough love will also ensure you have enough stashed away to enjoy your twilight years,’ she said.

Ms Hassan advises that discussing finances and setting up an agreement could help young adults to be aware of finances in the future.

‘Whether it’s getting them to help with household chores or contributing to the grocery bill, there are many ways you can teach them good financial habits while continuing to support them,’ she said.