Moneyflow within family generations

Modern day living is hard – money is tight for many families and most of us have had to cut down on excess spending and work to budgets, something that we may not have been doing in the past.  Standard Life have published a report which tracks how money flows in all directions around four generations of a family

The report has highlighted five conversations that we believe families should be having – but many shy away from – and below are some of the key findings of the research:

– Money is moving both up and down the family tree – a third of parents (34%) have given money to their parents (the grandparent of the family) for basics like utility bills, and gave an average of £428 in the past 12 months

–  The older generation are the least likely to ask the family for financial help or advice, while young families with children under five are the most likely to seek help and support from the wider family

–  “Education” is the new “wedding” –the main thing that the grandparent generation have contributed to is their child’s wedding, the main thing that today’s parents pay for is education

–  Many families only seem to talk about money when there is a problem or there is an important life event,  like a birth or death – families are reacting rather than planning

–  Many older people are passing on their wealth to help their family now, rather than leaving it in their will

Are you saving for your childs future?  Or have you had to lend money to anyone in your family?  Family banking and borrowing systems are not a new fad – let us know your ideas and views…

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