Bank of Mom and Dad: 71% of Parents Fund Their Adult Kids

The Bank of Mom and Dad isn’t closing — even when parents can’t afford it. More than 7 in 10 parents (71%) with children 18 or older have financially supported an adult child, and 44% have done so in the past two years, according to a LendingTree survey published September 28, 2026.

For many families, the support is a regular arrangement rather than a one-time favor: among recent supporters, 32% provide money multiple times a month, and 3 in 10 expect to keep helping indefinitely — as long as needed.

What parents are paying for

Parents are covering everyday essentials, and it adds up to thousands. Groceries or meals top the list (53%), followed by cellphone, internet or other subscriptions (35%), everyday bills or general living expenses (35%), cash without a required purpose (29%) and housing costs (25%). A third of parents (33%) say they’ve given their adult children $2,500 or more in the past two years.

On the receiving end, half of Gen Zers get financial help from parents, and 38% say they’d struggle without it. A separate Bankrate survey found 17% of adults who received ongoing parental assistance got help purchasing their first home.

The hidden cost to parents

The generosity is straining the givers. Sixty-four percent of parents say providing support causes them financial stress — affecting their ability to cover expenses (18%), pay off debt (16%), save (13%) and prepare for retirement (11%).

Bankrate found 37% of parents who financially sacrificed for adult children sacrificed retirement savings in some way, while 41% sacrificed paying down their own debt. Parents aren’t simply giving away extra cash; they may be giving away years of their own financial freedom.

Setting boundaries without breaking bonds

Experts say the healthiest approach is to treat parental support like any other budget line: decide what you can give without jeopardizing retirement, communicate it clearly, and put a timeline on it. Money is already the top source of stress in romantic relationships, as our 2026 couples-and-money report found — and financial entanglement between generations can strain marriages too.

It is not just an American story

The same pattern is showing up north of the border. An RBC survey found 51% of Canadian parents are helping adult children aged 18 to 40 with bills — providing an average of $6,151, mostly toward groceries (56%), rent (24%) and utilities (21%). Nearly a third (32%) of those parents say their adult children are not yet financially independent, including about one in five parents of 35-to-40-year-olds. As one personal finance expert put it: this generation is not failing to launch — the runway has gotten longer and a lot more expensive.