What would be fair amount for a 21 year old to pay?

Grumpy_chap

bertiewhite wrote: »

So - I had 2 figures in mind, 1 which is a quarter (there are 4 in the house) of just utilities and food (£140) or including the mortgage which would be £300. I am thinking £200 would be a good figure given his wage.

As far as the comments about including mortgage are concerned my view is that we only live in the house we do because of 2 teenage children. The moment they leave home we will downsize and have a smaller mortgage with smaller bills.

I think any figure is probably as best determined on an arbitrary basis. I understand why a calculated figure is also attractive to some, especially if justifying to a reluctant off-spring (though all the justification they should need is that they have the other choice of getting their own place).

If going with the calculated figure, then it is probably wise to ignore the mortgage, to avoid counter-claims from an ungrateful offspring saying they want a share in the equity in the house then. That could just end up with another long justification as to how you put in equity and paying the mortgage for 25 years, and they have only paid a little bit of the mortgage for, say, 5 years, so how much equity do they really expect? It is a futile argument anyhow as the said ungrateful offspring will get the equity when you get to heaven - surely they can wait til then.

If you really want to include the value of a portion of the mortgage, then it is probably better to call it "bills plus rent contribution" or "subsidised rent plus bills" After all if they moved out they would be paying £400 per month rent plus the bills on top.

stebiz

girlycara wrote: »

as a relatively young person who until recently lived at home, I disagree with the idea of charging kids (even when adults and earning), a penny. I will never charge my kids a single penny when I eventually have them. you have kids knowing they will cost you, if you cant afford to look after and nurture them then don't have them. they don't stop being your kids on your 18th birthday.

look at cultures that have far healthier attitudes to family life, Italians etc, they would never charge their kids rent

So say all of us. Quite the opposite here. I've just built my 18 year old a loft conversion with her own bathroom. When she starts work she can give me and her mum a few hundred a month which will go into a savings account towards a deposit.

I have a friend whose daughter got married two years ago. Couldn't wait to move out into rented accommodation with her new husband. They are both now moving back so they can save up for a deposit.

Tropez

I didn't pay any rent when I still lived at home after getting my first job.

Instead, I did most of the household tasks - cooking, cleaning (not brilliantly I must say), laundry etc.

I also paid for anything that was for me - broadband (mum still doesn't use the Internet, and I still pay for a broadband subscription for her house!), satellite TV, mobile phone, food, toiletries etc.

Now I'm sure that would be considered a "great deal" by some but I also think it is fair because the electricity, water bills and the like remained pretty much the same after I left - a small drop on the electricity and the water bill was rated so was a set sum. I also contributed to the running of the house by doing the majority of the chores.

Kernow666

let him move out and see how long he lasts in the big bad world he wont last 5mins before someone sells him some magic beans

supersaver2

stormbreaker wrote: »

Apologies, I have not read through this lengthy thread! My son is an apprentice and understandably does not earn the earth

He knew from the minute he started full time employment his money was to be split 3 ways, a third to spend, a third to save and a third for digs.

We are very fortunate, he transfers at least £200 every month into our account on receipt of his wages.

I don't know exactly what he earns but I do know he has had a rise in the two years and our digs have gone up without asking.

We are in the fortunate position to invest it in his name without his knowledge. We feel this only fair as we have supported his brother through 5yrs at Uni.

I understand charging your grown children rent, but what right do you have to tell an adult that their money must be split 3 ways? Surely once they've paid their rent the rest of their salary is theirs to do with as they please?

Person_one

bertiewhite wrote: »

As far as the comments about including mortgage are concerned my view is that we only live in the house we do because of 2 teenage children. The moment they leave home we will downsize and have a smaller mortgage with smaller bills.

Will you give them a share of the equity you release?

Mojisola

Person_one wrote: »

Will you give them a share of the equity you release?

Does a landlord give a tenant a share of the equity when the property is sold?

itsanne

supersaver2 wrote: »

I understand charging your grown children rent, but what right do you have to tell an adult that their money must be split 3 ways? Surely once they've paid their rent the rest of their salary is theirs to do with as they please?

I think it was a very good idea with a sixteen year old and likely to have set him up with good habits, and possibly a tidy lump sum, for life.

As stormbreaker isn't aware of increases details, presumably there's no actual check kept now.

Grumpy_chap

stebiz wrote: »

When she starts work she can give me and her mum a few hundred a month which will go into a savings account towards a deposit.

This is a fair approach, but if adopting this, I still say tell your child that it is rent / bills costs. This will help them understand the cost of living, and also encourage them to get into the habit of managing their remaining balance to include some savings through voluntary approach.

Then, when they decide to leave home, by all means give them the money back as a deposit, but it will be very pleasant surprise then and they will have learned some good financial discipline along the way.

supersaver2

itsanne wrote: »

I think it was a very good idea with a sixteen year old and likely to have set him up with good habits, and possibly a tidy lump sum, for life.

As stormbreaker isn't aware of increases details, presumably there's no actual check kept now.

It would be great if they did it because they wanted to, not an expectation by their parents.

In my opinion you are earning and paying your way, your disposable cash is yours to spend/save as you see fit.