Ryan, Sowards lead Lady Indians to easy win in season opener, 57-36 over Felicity Senior Profile: Wes Hayslip Justice off to hot start at VSU County boys’ squads on display in annual SHAC Preview Night ‘Operation Christmas Child’ collects 1,707 shoe boxes for needy children Two animal cruelty cases investigated in Adams County DP&L considers closing power-generating plants in county Holiday spirit makes an early appearance in Adams County Chester A Mann Jeffrey A Daley Sr Michael G Tincher DAR sponsors Good Citizen Award Ohio’s young hunters harvest nearly 6,000 deer during Youth Gun Season Senior Profile: Kayle Thomas Helen N Hiestand Rev Walter R Egnor Sr Betty Beam Jamie L Corrill Jeffrey L Heppard Edsel L Massey Jr It is time to stop and take time to give thanks on a special day Another year to be very thankful for Senior Profile: Savannah McCoy McCoy signs to continue golf career at SSU North Adams hosts SHAC Girls Preview DAR commemorates 50th anniversary of Vietnam War Historical Society honors veterans Star Wars routine leads Fancy Free Cloggers to ‘America’s Got Talent’ A Day at the Opera Eagle Creek draws community to Thanksgiving celebration Ward ekes out victory over Worley in county commissioner race Mary A Garman Ronald L Palmer Joseph S McClanahan II Emma O Hayslip Devils slip by Georgetown in Foundation Game Hupp, Hunter, Wolke named OSSCA Second Team All-State Senior Profile: Kain Turner Lady Devils romp in Foundation Game Oh, those aromas coming from Mom’s kitchen What Became My Biggest Project Deer gun season set to begin ‘Trees to Textbooks’ shares revenues with local schools and communities BREAKING NEWS Winchester’s Baxter wins Miss Ohio USA 2017 pageant Genny Elkins Pauline S Stevenson Donald E Lewis Sr Charlotte R Seaman Ruth Prater Bennie Skaggs Gertrude Swayne West Union High School hosts impressive Veterans Day ceremonies Peebles Elementary hosts ceremony to honor local veterans Duke Energy exits Killen and Stuart Plants GE Aviation hosts annual Veterans Day celebration Senior Profile: Logan Gordley Jeffrey A Brown Sr Peebles Library welcomes local author and survivor on Nov. 19 Homer C Eldridge Robert W Schomberg One Commissioner race too close to call in unofficial count Voters approve majority of county levies on Tuesday’s election ballot NAES Sixth Graders practice the democratic process Honoring one who gave the ‘last full measure of devotion’ Overcoming adversity, veteran of Iraq War opens local business Senior Profile: Ben Figgins Senior Profile: Macy Mullenix SHAC Basketball Previews are set for Nov. 18 and 25 Trio of local golfers finish careers with trip to the highest level of high school competition Peebles sophomore Jenny Seas finishes sixth in OHSAA state cross-country meet Upset win sends Trump to the White House ACRMC awarded plaque for 50 years of service Peebles Elementary releases Honor Roll for First Nine Week Grading Period BREAKING ELECTION NEWS! Senior Profile: Jordyn Kell Orlie H Kirker Military homecoming at NAES Second half spells doom as Greyhounds fall to Hillcrest 42-12 in finale Senior Profile: Sarah McFarland WU’s Horton will continue golf career at SSU Lady Devils’ season ends in heartbreak with 3-2 loss in District championship battle Christine R. Ritchey Operation Christmas Child begins Nov. 14 Mental Health levy on tomorrow’s ballot Wanda L. Nixon David Rogers Robert “Bobby” Leonard Keneth Waters Commissioner Worley seeks re-election Republican challenger vies for Commissioner’s seat Charles Cooper Thelma J White Kayleigh L Crothers AEP Ohio employees support Breast Cancer Awareness Month WUHS holds annual Beta Club and Honor Society inductions When Saturday mornings belonged to the kids of the house Senior Profile: Gloria Purdin Green-White Night, OHSAA Meeting at WUHS on Nov. 9
web1_Alderman-sig.jpg

Money management for the ‘Boomerang’ household

Due to recent economic realities, multi-generational living has been on the rise for many families.

A 2014 Pew Research Center analysis (http://www.pewsocialtrends.org/2014/07/17/in-post-recession-era-young-adults-drive-continuing-rise-in-multi-generational-living/) showed that a record 57 million Americans, equal to a little over 18 percent of the U.S. population, lived in multi-generational family households in 2012 – double the number in 1980. The major driver was young adults aged 25-34. According to Pew, nearly 24 percent of these older millennials lived in multi-generational households, increased from nearly 19 percent in 2007 and 11 percent in 1980.

It’s possible the “boomerang” family trend will remain in place for some time to come. For homeowner parents who may also be juggling the “sandwich” responsibilities of caring for older relatives, paying attention to the financial and behavioral details of taking in family is critical. Here are some suggestions to consider:

Your finances come first. Operating a full house means higher utility and food costs and additional wear and tear on the property. Taking in family also shouldn’t derail a parent’s career goals or retirement planning, nor should it diminish other necessary financial objectives like maximizing savings or eliminating debt. That’s why dual- or single-parent households might begin with a complete financial assessment before welcoming kids or elders back home. A discussion with qualified financial and tax advisors might be worthwhile to determine how much expense you can take on. For arrangements that go beyond free lodging to direct cash support of family members, gift tax issues should be explored.

Make a real agreement. A home is stability and therefore something of significant value. That is why it is appropriate to consider rent or request in-kind services in exchange for room and board. Young adults – particularly those who were fully under parental support in college – need to learn this important lesson even if they are moving home to save money to pay off loans, to buy a car or put a down payment on a home. Ask trusted advisors about what makes sense in your situation. If you decide to accept rent, know there are potential tax issues (http://www.irs.gov/taxtopics/tc415.html) based on the structure, timeframe and expenses related to such an agreement. Legal paperwork may be required, but there also may be rental expenses you can deduct.

Establish timelines. In the real world, financial arrangements are rarely open-ended. Depending on the financial, tax and legal advice you receive as well as local tenant law and personal preferences, you may be signing an official lease for your family member’s stay with a specific timeline of months or years. Whatever the requirements, make sure you have an effective framework that sets specific financial and behavioral rules you want met.

Start with a family meeting. Before moving trucks arrive, family members should meet for a discussion about the impending move. Start by letting your child or family member talk through why they want to move in, whether they have financial goals tied to the living arrangement and how long they plan to stay. Share the structure you envision, including the payment details you would consider. No matter how agreement is struck, it should begin with a full discussion of needs, preferences, financial terms, and most of all, ways to make the arrangement successful and smooth. Once the move happens, regular conversations should continue about the living arrangement. After all, boomerang families have unique, ongoing financial issues that will require discussion.

Prepare to track expenses. Once agreed, retrofit your household budget to keep track of higher food, utility and related expenses for cost-sharing and potential tax purposes. Having people you love living with you will hopefully have many rewards that go beyond simple dollars, but always know what the arrangement is costing you.

Bottom line: Opening your home to returning family members is a real financial commitment. Think through money, tax and household issues before you say yes.

Leave a Reply

Your email address will not be published. Required fields are marked *

2016 People's Defender