- - Tuesday, December 1, 2015

For a whopping 30 percent of millennials, moving back in with mom and dad after college is their reality. Statistically speaking, if you line up ten millennials, three of them are probably eating some clutch home-cooked meals. Thirty percent of millennials living with parents looks bad on paper and sounds bad when you say it, but there are definitely pros to moving back in. But why are millennials increasingly moving back in with parents? Student loans, the need for jobs and the cost of living are the main reasons bringing millennials back home.

The majority of students going to college have to get loans in order to finish their studies. In fact, 71 percent of bachelor’s graduates will walk across the stage with student debt. The average debt per student is $35,000. College tuition is going up and wages aren’t exactly going up with it, so loans seem to be inevitable. It would make sense to move back in with the folks just for that reason alone, but the list continues.

Finding a good paying job after college that can support the living expenses, any credit card bills and students loans isn’t impossible, but it can take a while to acquire. The average time it takes to find a job after college that can support those expenses is three months. Sometimes it takes longer to find a full-time position, and the recent grad has to sleep somewhere and that somewhere would most likely be at home. But wait, there’s more.

Where is he going to live when he does get that job? He could live alone, but living alone comes at a cost. One in four renters spend half of their income on rent, and the recent grad doesn’t have time for that kind of spending. Half of the paycheck could go to rent even though he may only spend six hours awake in his apartment per day on average. Rent costs are way high in relation to the amount of time spent in the actual structure. Living with friends in his hometown certainly will alleviate financial stress and doing such would be preferable to some. But to others, living with their parents is simply more convenient and even less expensive than living with friends.

The pull to move back home is strong, like the Death Star’s tractor beam kind of strong. What can be done about this? To reduce loans and the financial strain that comes with them, students can do a few things to fight the crisis. Rigorously applying for scholarships before and during college could put a few extra bucks in the pocket. Taking as many college classes online that the major will allow is one way to reduce costs. Spreading college out by working part-time to pay for school will reduce debt stress in the future. All of those options are in the individual’s control.



Many college investors and board members would not agree with this, but the government could mandate that community college be free. That would at least allow those that want associate’s degrees to acquire them. That would make the typical general education classes free, which in most cases are academic redundancies of high school classes anyways. That saved money could go towards the final two years of major-focused classes. How would the government pay for this? Taxes would definitely have to go up for all U.S. citizens in order to pay for the workers that run those institutions. We already do it for public education, military, police, firefighters, etc. Why not add community college in there? Of course people don’t want their taxes to go up, but the student loan debt will certainly decrease because students wouldn’t have to take out as many loans because their first two years would be covered. Plus, if they sacrifice the residential experience and take more online classes, the loans amount would be even less. If the student has less student debt to pay back, that means he has more money in his pocket which turns into more spending, which boosts the economy.

This all circles back to why he is living with his parents in the first place. His personal costs are too high to live by himself, and the students loans are primarily the issue. If the student has $30,000 in loans to pay and no full-time job to support himself, the only logical thing for him to do is move home with his parents. For him, living with his folks isn’t that bad (assuming he has a good relationship with them) because when he does land that full-time job, hopefully his parents will let him continue to live at home. That way he can build savings and put a small dent in his loans. While it may not sound good to his date when he says that he lives with mommy and daddy, he knows that temporarily living at home will help him to become financially stable in the future.

William Smith is a Liberty University alumni and currently works as a videographer for Liberty University’s Online Communities Department. Mr. Smith is also an entrepreneur.

Copyright © 2019 The Washington Times, LLC. Click here for reprint permission.

The Washington Times Comment Policy

The Washington Times welcomes your comments on Spot.im, our third-party provider. Please read our Comment Policy before commenting.

 

Click to Read More and View Comments

Click to Hide