The Impact of Financial Dependence on Adult Identity Formation

This report examines the impact of financial dependence on the development of adult identity, focusing on the challenges faced by adolescents. It explores how parental financial support can hinder the development of crucial skills and responsibilities necessary for adulthood, such as decision-making and coping with financial burdens. The report references Erikson's theory of psychosocial development to highlight the importance of identity formation during adolescence and discusses the negative effects of continued financial dependence, including potential impacts on self-esteem and mental health. It suggests strategies for parents to foster independence, such as assigning household duties and gradually shifting financial responsibilities to encourage the development of essential life skills and ultimately, a stronger sense of self. The conclusion emphasizes the importance of financial independence for young adults to take on responsibilities and become successful in their life. References are provided from the field of developmental psychology.

Running head: FINANCIAL DEPENDENCE RESTRICT DEVELPOMENT OF ADULT IDENTITY
FINANCIAL DEPENDENCE RESTRICT
DEVELPOMENT OF ADULT IDENTITY
Name of the student:
Name of the university:
Author Note:

1FINANCIAL DEPENDENCE RESTRICT DEVELPOMENT OF ADULT IDENTITY
A majority of adolescents are maturing in a slow pace due to the sense of
responsibility diluted by parents helping them in mental and financial support. This paper
contemplates the effects on the adolescents to develop the identity of an adult due to financial
dependence on family.
Parents support their children until they reach the stage of adulthood and continue it
also in later stages through the provision of housing, help with tuition and living expenses, as
well as emotional support and advice. This creates identity confusion in young adolescents
failing to explore their real ideal self as per Erikson’s Psychosocial Development Theory -
fifth stage where adolescents face identity confusion (Arnett, Chaplin & Brownlow, 2018).
Getting some financial assistance from parents will reinforce the adolescents that parents are
always present to be relied upon even though they enter the adulthood stage which will make
them less committed to responsibilities and lack of decision making skills in future. Parental
financial assistance increase the symptoms of depression in young adults with feelings of low
self-esteem. The parents as the basic foundation element in the development of a child is
required to guide in this transformation period (Sam & Oppedeal, 2003). They should be
given household duties to learn coping skills that are adaptive. The financial burden should
also be allocated to them starting from lesser amount. The parents should make the
adolescents take certain decisions about their life and be accountable to face the
consequences further. The feeling of security should be reduced from the part of parents to
enforce them in taking responsibility of their own expenses and collecting their own money
to live their life.
In conclusion, continued financial support will violate young adult’s responsibility of
performing it on their own. Thus, a financial independent relationship with parents as an adult
on equal terms is the most popular criteria necessary to be an adult.

2FINANCIAL DEPENDENCE RESTRICT DEVELPOMENT OF ADULT IDENTITY
References
Arnett, J., Chapin, L., & Brownlow, C. (2018). Human development: A cultural approach.
Pearson Australia.
Sam, D. L., & Oppedal, B. (2003). Acculturation as a developmental pathway. Online
readings in psychology and culture, 8(1), 6.