Parental support helps young adults do better

New research from the Melbourne Institute of Applied Economic and Social Research has found that young people who receive financial support from their parents are more likely to pursue further education and achieve a higher standard of living in the long term.

Professor Deborah Cobb-Clark, co-author of the study, said that support from parents can play an important role in ensuring that young people make a successful transition into adulthood.

Although changes in youth allowance have focused on the disadvantaged, access to the social system is often still based on young adults parents’ income, due to high thresholds required for young people to be classed as independent.

“Children who have the option of co-residing with their parents and get their support with education and training costs enjoy higher living standards primarily as a result of improved labour market opportunities.” Professor Cobb-Clark said.

Read more at The University of Melbourne