DD's financial independence.

[swanburger]

Our DD just turned 18 and is off to uni in September. She is a great saver and has had a part-time job since she was 14. We will not be able to give her too much when she starts uni and she will need to rely on a loan, but do you think I should charge her a small rent over the summer and transfer over her phone bill so that she learns about living costs or leave it, as she is a good saver? My plan was to leave her to save, in the knowledge that hopefully this will allow her to be more self-sufficient when she leaves home, but I wonder how others approach teaching financial independence. I plan to help her draw up a budget for when she leaves for uni but would love any useful tips.

No I wouldn’t be charging her rent before she leaves. I would be having the discussion about the phone bill though.

If she’s worked part time and is sensible with money you wouldn’t be teaching her much by charging rent for that short period.

Let her enjoy her summer before she heads off to uni.

She is good with money.
I'd leave her to save.
The only way i would charge is if i was putting into a S&S ISA in my name because I wasnt using full allowance and then I would gift it back to her at graduation.

I’m just contemplating this as my DD is leaving school soon, has two part time jobs but is taking a gap year.

I think asking her to have her phone contract and other subscriptions like Spotify etc. is a good idea.

I wouldn’t charge rent.

I wouldn’t charge my DC for being at home when they’re still in education. Loans won’t cover uni costs so she’ll have to use her savings and earnings to cover it.

Just to add, I pay for petrol for essential trips (e.g. to college) but that’s all.

This is a good idea for my younger daughter when the time comes as she is not so good at saving.

She sounds switched on. She doesn't sound like she needs extra help to learn a lesson that she's already proven she knows.

Yeah charge rent and save it... do S&S as its essentially their money so you the "risk" is fine. A vanguard fund is only going one way of you wait long enough. And thr fact its in your name means you can afford to hold for an extra few years if needed.

My dm did it for my db as he was fairly crap with money.
Do NOT them you are saving as they then expect it.

Don’t charge her rent and if you can, keep paying her phone. Jobs for University students are thin on the ground. Your DD even with her work experience may not find a PT job like she had at home. Many employers aren’t hiring University students because they have a reputation for being unreliable and want time off for exams or practicals. The unemployment is so high, they’d rather have someone in their mid20s who is desperate and is available to work any shift on short notice.

She is still in full time education. You should do whatever you can to support her financially. It’s fine if that isn’t much, but she definitely doesn’t need to pay you rent just to learn a life lesson. She isn’t in the workforce yet for real. She isn’t going to get a skewed sense of her earning power.

once she leaves education, absolutely charge her rent (and save for her what you can if finances allow)

Mine was a good saver.
All I did was take her to the supermarket with me beforehand because she had no idea what her favourite ingredients cost. I pointed out stuff like always look down the shelf for the cheaper stuff and check the use buy date because food wastage is literally wasted money.

We also tested TooGoodToGo.

I would still want to support my adult child with free accomodation and food etc as they are in full time education. To be honest I don't charge my son who lives with me. He works full time and is saving for a house deposit.

FGS who does this? Your daughter is in full time education and is seemingly very sensible and conscientious. How grabby.

This is what I was thinking but my parents charged me during the Summers so I was wondering how others approached their uni student kids. I guess it depends on your means at the end of the day.

We won’t be charging ours, we’d rather they get as much from part time jobs as possible. Spotify and mobile phones are on family plans so we won’t bother pushing their share onto them either.

Absolutely not. If she was at home after uni working a full time job then yes, but she’s saving and you cannot give her any top up - she may need everything she’s got! She will learn about budgeting (you could help her work this out) as soon as she leaves the house.
My DD is extremely frugal and does get near max loan but I haven’t had to give her any money (I do pay for her phone). I don’t pay fur train home or anything. She’s managed to save from her summer job and her current term time one and has opened an ISA. I wouldn’t dream of charging her rent.

Take her for every penny you can get

No, I wouldn’t charge her rent over the summer and I’d continue paying her phone bill. To me, that’s an essential and it would give me peace of mind knowing it’s being paid.

This concept - how much to charge or not charge uni-aged teens - is a long running debate on MN so you will have the full range of answers.

Personally, I don't charge my DD rent and I help her with food at university but each parent handles it differently so do what works for you.

My DD works at the local pub when she is home and saves up her earnings to spend during term-time.

Do help her change her phone payments into her own name. My DD has just finished her first year at university and we had to do this mid-year b/c she needed to top up without having to involve me which slowed down everything just when she needed it most. You can give her money to cover it or not, as you like. My DD is on PAYG so the cost is very low (e.g. £10/month) and she pays it herself.