RBC report: Over half of Canadian parents provide financial support to adult children

A new report from RBC reveals that financial dependence among adult children is a growing trend in Canada. Approximately 32% of Canadian parents with children aged 18 to 40 report that their children are not yet financially independent. This trend persists well into adulthood, with 21% of parents of children aged 30 to 34 and 19% of parents of children aged 35 to 40 providing ongoing support.

In the past year, 51% of surveyed parents provided financial assistance to an adult child, with an average contribution of $6,151. Support often covers essential living costs: 56% of parents helped with groceries, 24% assisted with rent, and 21% helped with utilities. Additionally, 43% of those providing aid noted it was for unexpected or emergency expenses. The survey, conducted among 1,000 Canadian parents, suggests a shift toward a “Family Plan” model where parents assist with both major and everyday expenses to help the next generation navigate economic challenges.