Parents are more likely than ever to provide temporary financial support for young adult children, many of whom are forced to return home because of economic pressures.
That’s according to the fourth annual Boomerang Kids Survey by Thrivent, which warned that such short-term assistance could create a long-term “boomerang burden” as parents deal with escalating financial strain in the years that follow.
“Taking care of your adult children is an extremely caring act of love, but it also requires a delicate balance between a desire to help and your own financial planning,” Thrivent Financial Advisor Alex Gonzalez said in a news release. Gonzelez should know. He helped his own boomerang child move out on their own over the past year. “I know firsthand the stress this can put on families, which is why I’m a huge advocate for long-term financial planning with a financial advisor. With the right advice and planning, parents can develop a strategy for helping their adult children without jeopardizing their financial goals.”
Thrivent said the 2025 survey demonstrates an urgent need for proactive communication, long-term financial planning and more transparent family discussions around finances.
Priced Out, Moving In
The top economic factor causing young adult children ages 18-35 to return and live with their parents is housing affordability (32%). That is down significantly from 2024 (50%), which may be due to declining rent prices nationwide. Other factors include increasing prices on essentials (30%) and personal events like divorce/separation (20%).
Overall, 54% of young adults say they manage finances well — awarding themselves a grade of A or B — and 57% of parents agree. But among adult children living at home, 46% get good marks on their budgeting skills. In comparison those who never returned home earned a much higher 63%.
Hitting Their Limit
Citing the economic situation, 45% of parents have ended or reduced financial support for their children.
