MetLife Publishes Intergenerational Financial Planning Guide

In the tips, “Preparing for Family Financial Responsibilities Across the Generations,” MetLife encourages consumers to take stock of their financial situation and focus on their own needs before committing to others. Consumers are asked questions to determine how many people are financially dependent on them, and how much that dependence will cost over the years. The tips then point out that to be of assistance to others, consumers need to take good care of themselves. With 86% of respondents in MetLife’s January study saying they have a “strong or absolute responsibility” to save enough to avoid depending on family members in retirement, it’s clear that consumers should make their own financial situation a priority.

MetLife acknowledges that love, rather than a sense of obligation, is a main reason consumers want to support their children financially. However, in the tips, MetLife encourages people to consider practical gifts like money for education or furniture for a new house.

“We found that people must examine their own financial status and make decisions about how to assist their family members based on their ability to do so, the real needs of their parents and children and a look down the road at how each party will be able to deal with change and unexpected pitfalls,” said Timmermann.