More and more these days, I’m hearing from retired clients who want to provide financial help to an adult child in his or her 30s, 40s or 50s. That child may have lost a job during the recession, gotten divorced or need help paying for a child’s college education.
The problem is, the parents are often in a somewhat precarious financial situation themselves, and every dollar they give away to a child puts them at risk of depleting their retirement savings.
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