Only 10 percent of Millennials living with their parents pay rent, according to new research.
Conducted by Securian Financial Group, a survey of 700 young adults living with their parents also reveals that more than 8 in 10 Millennials help with household chores. And nearly half (49 percent) say they contribute to household expenses.
The number of young adults living with their parents is at its highest level in more than 40 years. An analysis of census data carried out by the Pew Research Center finds that 36 percent, or 21.6 million of young adults ages 18 to 31, live with their parents.
The Securian survey attributes these higher numbers to several factors. Among them: High college costs, large unpaid student loans, unemployment and underemployment. Many young adults also live with their folks because they prefer to do so or to reduce living expenses and save money.
“Most of these young adults are in the dark about the effect they have on their parents’ finances,” said Michelle Hall, Securian’s market research manager. “Nearly 45 percent say their living at home has no financial impact.
“Yet elsewhere in the survey, nearly half (44 percent) of those same people said they are unsure of the impact,” she adds. “They simply do not know how living at home affects their parents financially.”
Among the survey’s additional findings:
● A small number of Millennials (4 percent) say their parents delayed retirement to help cover the cost of their children living at home.
● Eight percent say their parents ask for no compensation.
● Only 9 percent say their parents set a deadline for moving out or conditions for how long they may stay.
When asked whether they would return the favor and house their parents if they were unable to live in their own homes, nearly 70 percent of the young adults in the survey say “yes.” Another fifth (21 percent) also say yes, though they would explore other options first.