It is frustrating for Canadian parents to see their children make the wrong choices. However, what stresses them even more, at least financially, is seeing their capable adult children still be dependent.
According to a survey by the Financial Planning Standards Council
(FPSC), nearly half of Canadians (45%) say their adult children are causing financial strains. The poll revealed different scenarios where the children's dependence may jeopardize the financial well-being of their parents.
For instance, 45% of the respondents claimed that assisting their children with post-secondary education costs will postpone their retirement. Meanwhile, 46% of parents will have to adjust settling their debts given such situation.
In terms of first home purchases, it seems like almost two-thirds of parents with children over 18 either will or have already assisted their kids on the matter. However, parents of Centennials, or those belonging to the Generation Z, are not very willing to assist their children in their first home purchase.
However, there is a divide between moms and dads in the willingness to extend a helping hand to their big kids. The survey found out that fathers (44%) are more likely to assist their children financially than mothers (32%).
"These results raise some fascinating questions about children, financial dependence and suggest potential sources of marital conflict," FPSC's Consumer Advocate Kelley Keehn said.
She concluded that the challenge for these parents is to find a way to help their children without putting their financial health at risk.
For more of Wealth Professional's latest industry news, click here.
'Pension plan changes not enough'
How advisors can excel with the modern Canadian family
More market talk: