Financial independence is one of the many markers used to designate the crossover from childhood into young adulthood, and its a milestone most Americans (64%) think young adults should reach by the age of 22, according to a new Pew Research Center study. But thats not the reality for most young adults whove reached this age.

The share of young adults who could be considered financially independent from their parents by their early 20san assessment based on their annual incomehas gone down somewhat in recent decades. A new analysis of Census Bureau data finds that, in 2018, 24% of young adults were financially independent by age 22 or younger, compared with 32% in 1980.

Looking more broadly at young adults ages 18 to 29, the share who are financially independent has been largely stable in recent decades. Overall, young men are more likely than young women to be financially independent, but this gender gap has diminished significantly.

The surveys findings underscore the extent to which many young adults are financially reliant on their parents. Some 45% of adults ages 18 to 29 (with at least one living parent) say they have received a lot of or some financial help from their parents in the past 12 months.

According to parents of young adults, those shares may be even higher. About six-in-10 parents with children ages 18 to 29 (59%) say they have given their kids at least some financial help in the past year. The study is based on two nationally representative surveys.

A majority of young adults who have received financial help from their parents say at least some of it was for recurring expenses. Six-in-ten say the money went toward household expenses such as groceries or bills, and significant shares used it to pay their tuition, rent or mortgage.

Read the full report from Pew.

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Fewer than one in four young adults are financially independent - Greater Baton Rouge Business Report