Women, in particular, can find themselves providing care out of work hours.The changing nature of families is putting pressure on middle-aged adults who are having to support more than one generation.
These are the members of the so-called sandwich generation. Increased longevity means retirees are more likely to run outof money before the end of their life and turn to their offspring for help. Children who struggle with debt, failed relationships or single parenthood call on their parents in adulthood for financial support.
In these situations nobody wins. Transferring debt between generations doesn't solve the problem, it just shifts the burden of debt and drags others down. Members of the sandwich generation can find themselves working longer hours, making lifestyle sacrifices and plunging further into debt. Along with this can come depression, health problems and loss of enjoyment of life. It is not just money that is demanded by older and younger generations, it can also be time and emotional support. Women, in particular, can find themselves providing care out of work hours to parents, children and grandchildren.
When the term "sandwich generation" was coined back in the 1980s, its members comprised baby boomers. Now, 30 years later, it is the children of the baby boomers who are stuck in the middle. As baby boomers continue to age, the burden on their children will become increasingly heavy.
However, a 2013 survey by the Pew Research Centre, a US social research organisation, showed that though about 20 per cent of middle-aged adults provided financial support to their parents, around 73 per cent provided support to children aged over 18 and this percentage has been rising. Society demands we care for the young and the old, but the needs of all generations need to be kept in balance by sometimes saying no.
* Liz Koh is an authorised financial adviser. The advice given here is general and does not constitute specific advice to any person. A disclosure statement can be obtained free, call 0800 273 847. For free e-books see moneymax.co.nz and moneymaxcoach.com
