Delayed Financial Adulthood
Stats Canada was emphasizing (back in 2007) that our children were becoming “Adults”, or acting like Adults later in life.
What did they mean?
The study, published in 2007 in Canadian Social Trends, used census data from 1971 and 2001 to show how transitions have changed for individuals aged 18 to 34. (The study includes people in their early 30s in order to allow sufficient time to complete the transition to adulthood.)It found that overall, the transition to adulthood in 2001 was delayed and elongated compared with that in 1971. It took young adults longer to achieve their independence. They were leaving school later, staying longer in their parents’ home, entering the labour market later, and postponing conjugal unions and childbearing.
Interesting from a financial point of view also. If all of this is delayed, are they going to delay retirement too? Are their kids going to hang around as well and be a financial burden on them later in life?
My opinion is that this is suggesting that the normal “model” for financial planning is officially “out dated” because how a person lives their lives is now changing as well.
If you are pre-approved you legally have to apply for it? Um, no Mr. Colbert, I don’t think you are the “Truth Talker” here.
You know the really scary part of this satirical piece of advice, is that it’s a little bit too “truthy” in nature.
Remember last week I did ask, How do you retire with Kids at home? I guess this is where they get the idea it’s ok, to return home? Mr. Colbert, shame on your “wrong speak”, shame on you!
Very good points. I agree that these changes signify some long term trends that will impact the current norms for financial planning.
“Staying in the parental home longer” may be partially due to cultural influences (ie. asians tend to stay with the family longer). Assuming that those staying at home longer are able to save money (eg. no rent) this may impact home ownership and mortgage levels.
Staying in school longer may lead to higher starting salaries (hopefully!) and/or increase levels of student debt.
I’d be interested to know if having children later is financially beneficial. Is it better to have kids a bit later, when people are more financially secure, or is it better to have them earlier and out of the house earlier? (although as the article says, kids are staying at home longer anyways haha)
Earlier you won’t have enough money to kick them out, but they may then build an entrepreneurial skill and want to earn their keep? Who knows.