Social Security Helps Reduce Inequality for Adult Children of Beneficiaries

Image via Flickr Creative Commons: https://flic.kr/p/5F8Uqa

It’s not unusual for workers who grew up in lower-income households to help their parents out financially.

But a new study uncovers a twist in this familiar story: once the parents are old enough to collect Social Security, the money flowing from adult child to parent slows down. And when this occurs, the offspring are able to start saving money.

By reducing parents’ reliance on their children, Social Security “may be able to interrupt the cycle of poverty between generations,” Howard University researcher Andria Smythe concludes in a new study.

Read the full story: Squared Away Blog »

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

shares