Families show financial commitment to one another, but have their limits

Posted on: Monday, January 23, 2012

A new survey indicates that while family members will go to great lengths to help their loved ones, there are scenarios that limit their generosity.

Conducted by Metlife, the study found that nearly half of parents said they think it's their "absolute responsibility" to help finance their kids' higher education pursuits and 45 percent said they would allow an adult child to live with them if they were experiencing dire financial straits.

However, when parents were asked if they thought it was their job to make sure their kids didn't get into debt, 71 percent disagreed with the statement. In addition, 76 percent said it was not their function to contribute to their kids' down payment for a house.

Sandra Timmermann, director of Metlife's Mature Market Insitute, noted how there are limits to family members' largesse.

"Americans have a strong desire to help their families financially, but their generosity is not unbounded," said Timmermann. "While the research shows money provided to help with specific financial issues is a reflection of love and caring ... parents and children are not prepared to give in all instances."

The study also revealed that there are life insurance leads to be had, as 41 percent said they didn't have enough coverage.

Posted In: Insurance News, Life Insurance

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