Millennials have it tough, what with low-paying jobs, high-level student debt, and an inability to save a whole lot for retirement—or anything else, for that matter.

But many are having such a tough time, moneywise, that they’re back home living with their parents—or never left at all.

The problem with that is, while millennials are saving money by coming, or staying, home to roost, they’re not just cutting their expenses, they’re probably raising their parents’ expenses too—perhaps to the point of endangering the older generation’s retirement.

One out of three Americans are living with their parents, and with such a sizeable chunk of the population postponing such things as independence, a home of their own, even marriage and starting a family, it’s clear that this could present a massive problem for the older generation as they perhaps feel obliged to help out with things as small as a phone bill to as large as letting the kids live rent free to help them “get on their feet.”

And then there are the parents who put their kids’ educations above their own retirement deliberately, as well as the parents who are supporting adult kids to the extent that they’re dipping (or plunging) into retirement savings to do so. And that’s not exactly new—parents have been doing it for a while, whether they want to or not.

But the way young people approach adulthood is changing, according to a report from 24/7 Wall Street.

While to earlier generations, starting a family and living independently were top priorities upon reaching adulthood, “millennials do not mind forgoing some of that independence while they finish their education, hunt for a fulfilling job, and even for the sake of saving money,” the report says.

Most adult children living with their parents are employed. (Photo: Getty)

Instead, “[t]hree-quarters of young people today think it is only somewhat important or not important to move out of their parents’ household,” it adds. “This new mindset is likely, at least in part, the result of increasing student debt, high unemployment among millennials, and general worries about financial well-being exacerbated by the recent recession.”

But the kids aren’t exactly sitting home on the couch, playing video games and munching on cold pizza: “At the same time, the vast majority of people living at home are either enrolled in school or employed.”

The report took a look at the statistics to find out where the parental generation is hardest hit by playing host to its offspring, and ranked all 50 states by those with the greatest and least number of younger people are still living at home.

In reviewing the share of 18-34 year olds that live with their parents in each state, it appears that economic factors are the major driver of this behavior, it says, “as relatively expensive areas tend to have larger shares of young people who choose to remain in their parents’ households.”

To back that up, 60 percent of U.S. adult respondents to a National Opinion Research Center survey said it is extremely important to complete one’s schooling.

That tallies with the fact that, in states in which a large share of people graduate from college, especially with a graduate or professional degree, more people live with their parents.

Of course, that doesn’t mean that the kids necessarily move out once they’ve graduated; student debt can make them choose to live with their parents rather than with financial insecurity.

Then there’s the need to find a full-time job that actually pays them a decent amount—and that, according to the NORC survey, is the next most important aspect of the transition to adulthood.

Adult children living at home do so for economic reasons mainly. (Photo: Getty)

Since a low unemployment rate generally indicates that it is easier to find a job in an area, says 24/7 Wall Street, “it is not especially surprising that states with the lowest jobless rates tend to have the lowest shares of people living with their parents. In contrast, states that have higher unemployment rates tend to have high shares of people living with their parents.”

Using data from the U.S. Census Bureau’s 2017 report “The Changing Economics and Demographics of Young Adulthood: 1975–2016” and the cost of living in each state, or regional price parity (which it obtained from the Bureau of Economic Analysis for 2014, 24/7 Wall Street also considered the median age of men and women when they were first married in each state; that information came from the U.S. Census Bureau’s 2015 American Consumer Survey.

It then calculated an average age at first marriage, weighted using the ratio of male to female populations in each state between 15-54 years old—the same age group, it says, considered within the male and female median age at first marriage figures.

But supporting the kids could mean that the parents can never retire—or will have a tough time of it.

People nearing, or at, retirement age might want to keep that in mind if they’re considering relocating either before or after they retire; picking a state with the fewest adult kids still living at home could mean the state’s prosperity could bolster the parents’ retirement accounts.

Oh, and they might want to consider charging them rent.

Here are the five states with the most, and the five states with the least, number of adults still living with their parents. Parents, don’t say you haven’t been warned.

5 states with the most adult children living at home:

5. New Jersey

18–34-year-old population living with parent 2015: 46.9 percent

18–34-year-old population living with parent 2005: 36.1 percent (the highest)

Cost of living: 14.5 percent higher than nation (3rd highest)

Median age to get married: 29.9 (5th oldest)

4. Connecticut

18–34-year-old population living with parent 2015: 41.6 percent

18–34-year-old population living with parent 2005: 32.8 percent (3rd highest)

Cost of living: 8.8 percent higher than nation (6th highest)

Median age to get married: 29.9 (6th oldest)

New York has a high number of adult children living at home with their parents. (Photo: AP)

3. New York

18–34-year-old population living with parent 2015: 40.6 percent

18–34-year-old population living with parent 2005: 33.2 percent (2nd highest)

Cost of living: 15.7 percent higher than nation (2nd highest)

Median age to get married: 30.3 (3rd oldest)

2. Maryland

18–34-year-old population living with parent 2015: 38.5 percent

18–34-year-old population living with parent 2005: 29.1 percent (8th highest)

Cost of living: 10.3 percent higher than nation (5th highest)

Median age to get married: 29.7 (7th oldest)

1. Florida

18–34-year-old population living with parent 2015: 38.3 percent

18–34-year-old population living with parent 2005: 25.3 percent (20th highest)

Cost of living: 0.9 percent lower than nation (16th highest)

Median age to get married: 29.4 (11th oldest)

5 states with the least number of adult children living at home:

Iowa has a low number of adult children living at home with their parents. (Photo: Getty)

5. Iowa

18–34-year-old population living with parent 2015: 22.8 percent

18–34-year-old population living with parent 2005: 19.8 percent (tied with Idaho—8th lowest)

Cost of living: 10.7 percent lower than nation (11th lowest)

Median age to get married: 27.3 (11th youngest)

4. Nebraska

18–34-year-old population living with parent 2015: 22.7 percent

18–34-year-old population living with parent 2005: 20.2 percent (10th lowest)

Cost of living: 10.4 percent lower than nation (13th lowest)

Median age to get married: 27.7 (16th youngest)

3. Wyoming

18–34-year-oldpopulation living with parent 2015: 20.9 percent

18–34-year-oldpopulation living with parent 2005: 18.1 percent (2nd lowest)

Cost of living: 4.0 percent lower than nation (25th lowest)

Median age to get married: 26.8 (8th youngest)

2. South Dakota

18–34-year-old population living with parent 2015: 19.9 percent

18–34-year-old population living with parent 2005: 19.5 percent (tied-6th lowest)

Cost of living: 13.6 percent lower than nation (4th lowest)

Median age to get married: 26.3 (3rd youngest)

North Dakota has a low number of adult children living at home with their parents. (Photo: AP)

1. North Dakota

18–34-year-old population living with parent 2015: 14.1 percent

18–34-year-old population living with parent 2005: 17.6 percent (the lowest)

Cost of living: 9.3 percent lower than nation (17th lowest)

Median age to get married: 26.5 (5th youngest)

Instant Insights /

10 states where millennials are more likely & less likely to live with parents

More From HR Executive

Related Stories

Recommended For You