Recently, Altfest EVP, Karen Altfest, spoke with Lori Ioannou at the Wall Street Journal about the impact of boomerang children on retirement savings.  Here is her advice:

“Do a cost analysis to quantify what food, rent, laundry and other expenses will cost monthly once the adult child moves back home. Then sit down with your child and decide how living expenses will be shared,” says Karen Altfest, executive vice president and principal adviser at Altfest Personal Wealth Management. 

Having a written document—an informal contract—that lists shared financial responsibilities and sets a timeline for the living arrangement is an important first step, she says.

“As a rule of thumb, if your boomerang adult child is still living with you past the one-year mark, that’s a red flag that you may be endangering your own retirement,” says Altfest. 

If you have concerns about your own retirement situation, feel free to contact us for a free consultation.

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