After graduation, rent if lives at home?

[Anonymous]

Anonymous wrote:Why would you charge your kid rent?

+1
I have never understood this mindset. The purpose of living at home for a while after college is to *save money*.

[Anonymous]

No unless they need some help learning to budget and live within their means. Then act like a bank and take the money but save it for them down the line.

[Anonymous]

No. Of course not.

[Anonymous]

In some cultures it is actually the norm not to charge rent. In fact, if you ask any Asian Indian if they would ever consider charging their parents or kids any rent they would think you are out of your mind. I was born and brought up in India and moved to US for my masters. In India when I was working in the same city as my parents, I lived at home. I think 2 years, before I came to US for masters. It never occurred to anyone to pay or charge rent. Same with every Indian who was brought up in India at least. All of my friends and family are successfully launched. I never understood having "skin in the game" for kids.. if you gave them a good upbringing, taught them the basics of money management and investing. Providing a few months or years will only provide them a leg up, similar to paying for undergrad and grad education or paying for occasional vacations or 529 for grandkids. Family is there to help each other...

[Anonymous]

Would not charge rent but would highly encourage them to put a big chunk of their salary into savings.

[Anonymous]

Anonymous wrote:For me it would be whether I need the money or not. I would not frame it as charging rent (I will need the money as I am a single mom and low income and child support will stop even before graduation). I will sincerely ask my kid to help me out a bit, as otherwise we both struggle.
If I didn’t need the money I would never charge him, like I don’t make him buy his food or clothes now. I buy what I can afford and if something is hard I tell him how much I can contribute (for a laptop for example).

Awww you’re a good mom

[Anonymous]

Anonymous wrote:Would you charge your elderly parents rent if they needed to live with you? Jeez. If you charge your kids rent, I hope they remember that someday when you need help.

Agree and Disagree. When rents are very low / reasonable, totally appropriate.When you charge them fair market value in a crazy expensive area like NoVA, not appropriate. Teaches them lessons about bills and living expenses and financial planning. Gouging them fair market value is cruel, unless their plans are to stay forever.

[Anonymous]

I come from western Europe and would never dream of charging rent to my children. No one I know from the UK, France or Germany does that. Due to continental universities often not having the American style campus and dorms, and high rents in capital cities, it's very common for children to live at home during undergrad, then possibly live there for a few more years while they get on their feet, unless they go to college further away.

What a strange, short-sighted mindset.

[Anonymous]

No, I would never charge my kid rent.

[Anonymous]

Nope. My DD graduated from college 3 years ago & is living at home while working F/T and going to grad school P/T (online program). Her sibs have all moved out, but it's wonderful having her here. She pays her own car insurance, phone, medical copays, and gas, as well as occasional grocery runs. Otherwise, we feed and house her. It's wonderful to have her here, especially when DH and I want to travel and leave the dogs behind.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Would you charge your elderly parents rent if they needed to live with you? Jeez. If you charge your kids rent, I hope they remember that someday when you need help.

Agree and Disagree. When rents are very low / reasonable, totally appropriate.When you charge them fair market value in a crazy expensive area like NoVA, not appropriate. Teaches them lessons about bills and living expenses and financial planning. Gouging them fair market value is cruel, unless their plans are to stay forever.

Nope disagree.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Would you charge your elderly parents rent if they needed to live with you? Jeez. If you charge your kids rent, I hope they remember that someday when you need help.

Agree and Disagree. When rents are very low / reasonable, totally appropriate.When you charge them fair market value in a crazy expensive area like NoVA, not appropriate. Teaches them lessons about bills and living expenses and financial planning. Gouging them fair market value is cruel, unless their plans are to stay forever.

In case you haven’t heard, COL is proportionate to wages.

[Anonymous]

We don't charge rent but we discussed and wrote up a saving plan. Rather than paying rent to us parents, our child is aggressively paying off student loans and saving a percentage of each pay check for covering rent and transpiration once they move out.

[Anonymous]

Anonymous wrote:I graduated college and moved home with a full time job and enrolled in graduate school. My parents told me I could live at home rent-free for two months and then either move out on my own or pay rent at home. I moved out in a month and into an apartment that my sister wouldn't even visit (it was bad.) I ate a lot of ramen, had to go into my office on the weekends to work on my grad stuff since I couldn't afford the internet, and struggled through to my first promotion that gave me the tiniest bit of breathing room. I would not trade that experience for anything. I developed confidence I would not have found otherwise and learned how to live on little. And yeah, I also knew that my parents would have helped if I found myself in a bind but I never asked them for a dime. I'll be giving my daughters the gift of an education and after that it's launch time. There's a reason that kids today lack grit.

You can develop grit and ability to adult by living at home, paying minimal rent and saving saving saving for 6months+. Yeah, I'm not letting my kid live at home, work only part time, party all the time and not save anything---they want to do that they can get an apartment.
But why would you not want to give your kid a leg up and help them save for the future by living at home for a bit after starting out? Around me, 1 bedroom apartments are $2.5K+. I have a large home so my kid can live at home for a few years if desired and save that 2.5/month. After 2 years they will have 60K saved. Just makes financial sense.

[Anonymous]

The way to create wealth is by making good choices. My kids will stay with us after graduation if their job is local or if they have a consulting job that makes them a road warrior.

They will not have another opportunity to save a few hundred thousand dollars with such minimal effort and in a few years, so early in their career. Besides, the mental, emotional, logistical support they get as they are getting acclaimated to working life is also invaluable.

We love DMV area and our kids will probably settle down here. I want them to provide for their family, what we provided for them. My kids do not have college debt. This was our gift to them. We want them to give the same gift to their children. We want them to have an UMC lifestyle that they have enjoyed growing up. Which means that they will save money and think long term. To be able to have significant saving in their retirement account and also save for down payment to a house is a significant leg-up.