Managing finances individually could soon be a thing of the past as new trends suggest families no longer find discussing money a taboo subject.
Money has traditionally been something of a little-discussed subject in British households. But as financial decision making has become an ever-more complex family affair, it appears the purdah is finally lifting.
Research conducted by financial services provider OneFamily has found that families are increasingly making financial decisions together. And it’s not just a case of mum and dad making the decisions, it appears decision making is now being shared across the generations.
The study has found that 8.6 million parents and grandparents are now members of families that share money and decision making across multiple generations.
Importantly, it appears a mere one in 10 (10%) families still see money as a taboo subject. More than half (58%) now openly discuss finances with each other.
OneFamily also found that nearly half (46%) of parents and grandparents had given money to their children. But more surprisingly, 20% of children had given financial assistance to their parents. More than half (55%) of adult children living at home also contribute to their parents’ bills.
Georgina Smith, managing director of lifetime mortgages at OneFamily comments: “In this day and age with changing pressures on families such as children staying at home well into adulthood and older relatives moving back in, we are seeing a shift from personal finance to family finance, with relatives clubbing together to help each other manage their finances.
“We know that parents will do all they can to assist their children financially, but our research shows that there is a rise in cross-generational support as every generation feels the squeeze of day-to-day expenses. As such, it is encouraging to see a growing number of families being honest and frank about money issues.”