These days it seems that all anyone can talk about is student loan debt. Defaults are on the rise and we’re dangerously close to a bubble burst the size of the mortgage crisis just a few years ago. But with the attention student loan debt gets in the media, there is a group of people who are struggling even more than recent college graduates, unbeknownst to most of us: the sandwich generation.
The term “sandwich generation” refers to those adults who are caring for their parents while also supporting their children. The children of the sandwich generation are sometimes even young adults who’ve moved back home after college, otherwise known as the boomerang generation. To make matters even more challenging, members of the sandwich generation are sometimes still making payments on their own student debt. See how things can get complicated, and fast?
If you’re a part of the sandwich generation, then I know that you’ve been suffering quietly for years. But now it’s time to recognize what you’re going through and guide yourself to a better financial future, even while you care for those who depend on you the most.
Financial Do’s for the Sandwich Generation
Pay off your debt.
Now is the time for you to focus on your future needs. While this may feel selfish, it’s important to remember that the better you can prepare for your own future, the more you can provide for your parents and children later. One major hindrance to securing a solid financial future is debt, so pay your debt off as soon as you can. Do you feel like you’ve already tried everything you could to become debt-free? Read tips from personal financial experts to find new ways to pay off debt that you may not yet have heard of.
Save as much as you can.
Once your debt is paid off, you can allot any money that was going toward the debt payments to your savings account. Again, the more money you can put away now, the more you can provide for your family later. While their immediate needs may seem more important, try as much as possible to put even a little bit away each month. A little bit of savings goes a long way.
Find a support system.
The challenges you go through may feel overbearing and unique, but there are many who are in the same boat as you. While this is an unfortunate truth, the good news is that you can find others to turn to for emotional support. According to the Pew Research Center, “about one-in-seven middle-aged adults (15%) is providing financial support to both an aging parent and a child.” Look at your social circle, there’s a good chance that there are people you know who are going through this as well.