Moving Back In With the Parents May Be a Smart Financial Decision
by Erik Folgate
Filed under Careers
If you haven’t stumbled across the Brazen Careerist blog written by Penelope Trunk, I suggest that you check it out. She gives great career and start-up business advice.
She writes references an article wriitten by Ryan Healy college graduates going back home to live with their parents.
After reading this article, it helped me to reconsider my thoughts about college grads going back home to live with their parents. One thing the article does not point out is that you need to make sure that your parents are cool with you coming back. They might not have had plans for you coming back to live with them, so you need to make sure that it’s not a burden to them. Also, make sure that you are not a financial burden on them to come back home. I don’t think you need to pay rent, but you should definitely pitch in for utilities and buy your own groceries or pitch in for your mom to buy extra groceries for you.
The main reason that I think this may be a good option after you graduate is the factor of trying to grow up too quickly. Many of you get into the habit of buying a bunch of new stuff when you start out on your own, and your debt is compounded. Also, it may take you a few months or even a year to get your career going. Take this time to choose a company and a job that will align your skills and talents.
Just remember that this is a temporary solution to getting your “grown-up” life on the right track. You should not need to stay wit your parents for longer than two years to straighten out your finances and career. Staying any longer may become detrimental to yourself and your parents.
My child moved home following his graduation in May. His dad and I are totally on board with this move, as it has given him some time to come up with a plan before jumping into a day to day struggle with bills. We live in a high cost of living area (his rent was $1500 month while in school) and we think it is a smart idea to save for a home purchase and stay out of credit card debt for as long as possible, if not forever. He has not contributed financially to the household, however, he has taken on the duties of grilling dinner, rides for the younger kids who don’t drive, and yard work. To us, this is more valuable than a monetary contribution. An extra bonus is we get to spend time with him!
Colleen, that sounds like the right move for him, and I am glad that it is working out! My only suggestion would be to make sure that he knows it is temporary. My only problem wth him not making a monetary contribution is that it doesn’t prepare him for when he will be paying all of his own bills. I think it’s great that he at least helps out around the house, but eventually he should take on some monetary responsibilities so that he can start developing a more mature monthly budget.