Cost of Growing Up

American Dream beyond reach of many young adults

It used to be right of passage ffor young adults. Steps to becoming a grown up.

You graduate high school and maybe college. You get a job. Move into your own place. Pay your own bills. And then onto the property ladder, buying a small home and moving up to a larger place with time and added income.

But things have changed in America. A report released in January by the Pew Research Center says that more than half of all 18 to 34 year olds in this country could not get by without some sort of financial support from their parents.

It could be cash for rent, utilities or other bills. In some cases, it means choosing to remain in the family home with their parents.

Only 45% of adults 18-34 are completely off their parents’ payroll, according to the study.

It’s not for lack of trying. Young adults are employed full-time at a higher rate than they were 30 years ago — 67% vs. 55%. But while wages have risen, they haven’t kept up with costs.

According to the Pew study, that means young adults are facing a larger debt load than their parents a generation ago.

About 40% of Americans age 25 to 29 have a college degree today. That number was 28% just 30 years ago. The high cost of a college degree means a lot of student loan debt.

The high cost of housing means high rents in many areas of the country. And those who do find some place they can buy are paying a lot more for a property — with a much higher mortgage relative to previous generations.

The result, according to Pew, is sort of a delayed American Dream. Young adults are putting off moving out of the parents’ house, putting off buying a home, putting off marriage and putting off having children.

The cost of growing up these days is beyond a lot of young Americans. It makes us wonder — with some dread — what their children will face when they come of age.