Tips for parents financially supporting adult children

Key takeaways

• Record numbers of young people are out of education, employment or training, leaving more parents financially supporting adult children and seeking ways to help them into work.

• Open, empathetic conversations and clear financial boundaries can help families navigate unemployment without damaging relationships or creating unrealistic expectations.

• Parents should protect their own financial security and use the experience as an opportunity to build their child’s budgeting and money-management skills.

Recent Government figures reveal that almost one million young people aged 16–24 are currently not in education, employment or training (NEET) - equivalent to around one in eight young adults and the highest level on record.¹

The trend is placing increasing financial and emotional pressure on parents, with online searches for “how to get my child a job” surging by 116% over the past year, highlighting growing concern among families supporting unemployed adult children.²

Research from Saltus found that 73% of high-net-worth parents are financially supporting their adult children, suggesting the so-called ‘Bank of Mum and Dad’ is playing an increasingly vital role in helping young adults navigate a challenging labour market.³

Many parents are understandably worried about how best to support their children as they navigate an increasingly competitive and difficult job market.

While conversations about money can feel uncomfortable, open and honest discussions about finances, budgeting and expectations can help families manage the situation more effectively.

The key is striking the right balance by supporting your child where possible, without compromising your own financial stability.

1. Be empathetic

Searching for work can be emotionally draining, particularly for young people trying to get a start in a highly competitive job market.

Parents should approach conversations about money and employment with empathy and understanding, rather than frustration or blame.

With increased competition for entry-level roles and changing hiring practices influenced by technology and AI, many young people are facing barriers beyond their control.³

Framing discussions around support and solutions can help maintain trust and open communication.

2. Set clear financial boundaries

If you’re supporting your child financially while they look for work, it’s important to be transparent about what support you can realistically provide and for how long.

Setting clear expectations and spending limits helps protect your own finances while reducing the risk of misunderstandings.

Boundaries can also encourage young adults to explore part-time work, training opportunities or alternative routes into employment while continuing their search for long-term roles.

Many young adults value financial independence and may already feel uncomfortable relying on parental support, so clarity can benefit both sides.

3. Don’t jeopardise your own finances

Wanting to help your child through financial difficulty is completely natural, but it shouldn’t come at the expense of your own financial security.

Parents should avoid relying on additional borrowing, such as credit cards or loans, unless they are confident they can comfortably afford repayments.

What may feel like a short-term solution can quickly become expensive through rising interest costs.

If borrowing becomes unavoidable, it’s important to understand the difference between overdrafts and credit cards.

Many people assume overdrafts are the cheaper option, but in some cases they can carry higher interest rates.

There is no one-size-fits-all solution, so the right choice will depend on your personal circumstances and ability to keep up with repayments.

Missing payments can negatively impact your credit score and affect your future ability to borrow, so any financial support should be sustainable.

4. Use the opportunity to build financial skills

Periods of unemployment can create financial challenges, but they can also open the door to valuable conversations about money management.

Parents can use this time to help young adults build practical skills around budgeting, spending habits and saving money.

Learning how to manage a tighter budget can improve financial confidence and encourage better long-term financial habits.

Where appropriate, discussions about borrowing or credit products should always be approached carefully and thoroughly researched before any commitment is made.

<sup>Sources
1. ONS
2. Google search data, retrieved and accurate as of 08.06.2026
3. Credit Connect
4. BBC</sup>