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18 | WINTER 2020 The Financial Journey of Modern Parenting: Joy, Complexity and Sacrifi ce, a 2018 study conducted by Merrill Lynch and Age Wave, reveals that 79% of America's 173 million parents provide some fi nancial support to their adult children, with expenses ranging from weddings and higher education to rent, phone bills and groceries. The total amount for this continued "family bank" funding has reached a whopping $500 billion annually. According to the survey, that astronomical fi gure also represents twice what parents invest in their own retirement accounts. That real cost is just one consequence that can result from a child being fi nancially coddled. Enabling children in this area can create an environment of overdependence on providers, stunt self-suffi ciency and ultimately breed resentment. So how should you entrench the fi nancial habits and knowledge with your kids that can help them be fi nancially independent? Use open communication and smart practices to set your family down the right path. Start them young Introducing the concept and importance of money to your children early on can pay big dividends both immediately and as they grow. Talk to them about what money means to your family and the shared values you want to impart to them in that area. Indulge their inquisitiveness about money, possibly even through regular family meetings. The goal is to start creating solid habits and encourage the importance of fi nancial independence. These lessons can help form P arents want the best for their children. Parents invest time and effort in teaching their children how to walk and tie their shoes, how to look both ways before crossing the street and how to read and do math. In fact, for many parents, that protective instinct doesn't end as their kids transition into young adults. WINTER 2020 Talk to them about what money means to your family and the shared values you want to impart to them in that area.