For many students, the thought of breaking away from the safe and certain financial sport of their parents can be a daunting realization.
According to Time magazine, 25 percent of teenagers think they won’t be able to reach financial independence by the time they are 20.
On top of that, the percentage of teens who actually think they will reach independence has dropped from 75 percent in 2011 to 59 percent today. Teens are less confident today with the idea of breaking away.
“Part of the reason teens expect to live with parents longer may be because they are unsure about their ability to budget, use credit cards or invest money,” according to an article by Pew Research.
However nerve-racking the split from parents can be, young adults are at the age when they should be thinking of ways to become more financially independent.
The Global Post offers several steps in becoming more financially independent.
The first step is moving out. Moving into another house, apartment or area in general are all ways to help you become more independent. Moving to a separate location can help you work harder for your money and have a say over your assets.
Step two is generating your own income. Finding any kind of job can help you break away from parents and learn the skills necessary to move in the world.
Step three is budgeting expenses wisely. It is helpful to look at expenses and income and budget accordingly.
It can also be helpful to look at the expenses that aren’t immediate needs and remove them from your budget list.
Step four is to avoid relying on your parents as much as possible.
It may be necessary to seek aid from parents until you can find a decent job, but you should pay for everything you
Reviewing steps like these can help you understand where you are and what your goals should be.
“At our age, we should be able to handle some degree of financial independence. Responsibility is a good thing. Sometimes it’s coled with stress, but it builds character,’” said Ryon Bazzle, a junior studying web design.
In an article for the Ensign by Wendy Ulrich and Christine Packard called, “That They May Grow Up in Thee: Markers of Adulthood for Young Singles,” they offer advice to people growing into adulthood.
“Financial independence requires forward thinking. Some single adults may find that this does not come naturally,” Ulrich and Packard said.
They also suggest reading basic books on investing, talking to advisers and carefully studying options to become better with finances.
Richard B. Miller, a professor of family life at Brigham Young University, offered advice in his talk titled, “For Newlyweds and Their Parents.”
He suggests it is important to first develop appropriate relationships with your parents and this includes determining financial responsibilities for both parties.
“Although parents may choose to assist their newly married children in becoming established, perhaps by helping finance a college education or contributing to a down payment on their first home, married children should strive to become financially independent as soon as possible,” Miller said.
Miller said when parents provide long-term financial assistance to their children, it is inconsistent with the Church of Jesus Christ of Latter-day Saints’ welfare principles and does not facilitate growth and independence.
Although this sort of independence can be very difficult mentally and physically, it’s important for progression.
Young adults should consider their current financial situation and how it can improve in the near future.