Families Help Each Other Out Financially

None of us want to see our relatives in financial trouble. We often want to help with small gifts of money to an elderly parent who needs a new kitchen appliance or help with the heating bill. That is what family is all about. However, it seems more of us are doing more than the occasional handout.

Some 3.3 million families in Britain are currently providing financial support to grown up children, according to a leading online financial services company. Research by the web resource has revealed people are spending £1.5 billion a year helping out their adult offspring. On average people are shelling out over £250 a month on their grown up kids.

The study also revealed 1 million households are providing financial support for elderly relatives, typically spending more than £240 a month. This could be the result of savings and pensions being hit by the credit crunch leaving elderly people short of money.

Meanwhile, some 250,000 people were found to be helping out both adult children and ageing family members. This can be a huge strain on even the strongest family group. Times are hard enough without the added burden of helping financially insecure relatives. On the other hand we cannot stand by and let them suffer needlessly when we could help.

Commenting on the findings, a chief executive of the company said: "The research is a clear indication of the financial weight many families have to carry." He added: "It is important for anyone struggling with the costs of day to day life to seek financial advice."

Meanwhile, a study by a well known credit card company has shown 64 per cent of kids would prefer to spend more time with their parents rather than receive extra pocket money. Perhaps we are focusing on the wrong things to help our children. A good grounding in how to manage their finances instead of shelling out money may be a better approach to helping our children.

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