Elderly help offspring at own expense
There have been numerous reports of older Australians who are finding themselves incapable of living a “comfortable” retirement because they do not have sufficient funds saved. However, a new trend has reportedly begun to emerge – one which apparently needs to “stop” immediately.
There have been numerous reports of older Australians who are finding themselves incapable of living a “comfortable” retirement because they do not have sufficient funds saved. However, a new trend has reportedly begun to emerge – one which apparently needs to “stop” immediately.
According to director and senior adviser at Goldsborough Financial Services, John Oliver, older Australians are using the funds in their savings accounts to financially support their children.
With an increase in the number of older people who are forced to use their funds to help their offspring, Mr Oliver tells The Australian he has witnessed this situation with several of his clients.
“The problem that now exists is that income or savings that were set aside for retirement are now being used to financially support children,” he alleges.
Mr Oliver recommends that older people in similar positions should consider a stop to using their savings for this purpose, and ensure their children have personal insurance in place.
To counter unfortunate situations like these, numerous financial advisers suggest that parents should encourage their children to be proactive and responsible by putting money into high interest savings accounts from an early age.
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