Want to financially support your grandchildren? Ask this first
As cost-of-living pressures mount, many young Australians are turning to their grandparents for support — and it seems their grandparents are ready to help. According to McCrindle Research, one in three grandparents plan to gift 50% or more of their wealth to their grandchildren. Baby Boomers hold nearly half of Australia’s private wealth, despite making up just 21% of the population — a trend dubbed the “grandparent economy.”
Already, 39% of Australians have received some form of help from their grandparents, whether through inheritance, subsidised rent, or help with bills or education.
If you’re a grandparent considering financial support, it’s wise to ask yourself four key questions first:
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Will this affect your financial security?
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What’s the best way to give?
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Is your gift fair?
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Is it responsible?
A thoughtful approach, guided by advice from a financial professional, can help you support your grandchildren meaningfully — without compromising your own future.
Click here to read more about the points mentioned above and how they may relate to your current or future situation.
If you’re thinking of helping your grandchildren out financially, talk to FPW Financial Advice about your options. We are able to advise you on how much you’ll need for your financial security and on the best approach for helping your grandchildren.
Until next time,
Regards Rodney.
Rodney Johnstone CFP BBus, DipFP, GradDipAppFin
Authorised Representative of Count Financial Limited
Financial Adviser, FPW Financial Advice Pty Ltd
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