Emerging adults' financial conversations with parents as mediators of family communication patterns and financial independence

Abstract

Using family communication patterns (FCPs) theory, this study examined the frequency and comfort of emerging adults’ financial conversations with their parents as mediators of FCPs and emerging adults’ financial independence. Participants included 202 emerging adults (ages 18 to 25 years old) who completed an online Qualtrics survey assessing their FCPs, the frequency and comfort of their financial conversations with mother and father, and their financial self- efficacy and autonomy. Data was analyzed using correlations and a parallel mediation model in Hayes’s (2018) PROCESS for SPSS. The results indicated that family conversation orientation was positively associated with both the frequency and comfort of discussing financial topics with parents, as well as emerging adults’ feelings of financial self-efficacy and autonomy. Contrary to FCP theory, family conformity orientation failed to moderate the positive associations between conversation orientation and discussions of finances with parents, and it was positively associated with frequency of discussing financial topics with father and with feelings of financial autonomy. Whereas comfort with discussing finances with both mother and father mediated the association between conversation orientation and financial self-efficacy, it was frequency of discussing finances that mediated the association between conversation orientation and financial autonomy. Among the more important implications to come from this research is the idea that FCPs may encourage greater financial independence in emerging adult children via conversations with parents about money management.