Financial Independence | Business Briefing & America’s Tallest Building

Financial Independence: Any parent has to walk through the transition from childhood to adulthood. Most parents are highly invested in how life turns out for their kids. Most parents of young adults (71%) say their children’s successes and failures reflect on the job they’ve done as parents. This is especially true of upper-income parents. A recent study from Pew Research Center finds the lives of parents and their adult children (ages 18-34) closely knit together, both emotionally and financially:

A few of the main categories from the study are that (1) parents are very involved in their young adult children’s lives. Majorities say they text (73%) or talk on the phone (54%) with a young adult child at least a few times a week. About six-in-ten (59%) say they’ve helped their children financially in the past year; (2) Most young adults are okay with their parent’s level of involvement in their lives: 69% say their parents are about as involved in their day-to-day lives as they’d like them to be; (3) Fewer than half of young adults ages 18 to 34 (45%) say they’re completely financially independent from their parents, though this differs widely by age.

We discuss this topic regularly with clients as they plan for the future or are currently walking through this transition. If you would like to discuss any aspects of this in your own family, please get in touch with your advisor today. If you are interested in reading the study, you can find it here.

And for those who think it’s not like it used to be, you’re right! This chart tells a portion of the story:

Business Briefing

• S&P 500 Record: Early last week, the S&P 500 closed at a record high for the third straight day, rising 0.3% to 4,864.60. The tech-heavy Nasdaq rose 0.4%. Investors digested a wave of earnings reports and waited to hear from more companies, including electric vehicle maker Tesla, later in the week. Netflix’s surge following an unexpectedly large subscriber gain last quarter helped keep a tech rally going. (Reuters)
• Teen Workforce: An increasing number of high schoolers are working after-school and summer jobs as more part-time work becomes available. At least 250,000 more teens are employed now than before the start of the coronavirus pandemic. In 2022, 37% of 16- to 19-year-olds had a job or were looking for one, the most since 2009, according to the Labor Department. Economists said a gradual shift toward more teen employment was supercharged by the abundance of post-pandemic jobs in businesses like restaurants and stores amid a tight labor market. (The Washington Post)
• Retail Sales Beat Expectations: Retail sales rose 0.6% in December compared to the previous month, the Commerce Department reported. The gains beat economists’ expectations and marked an acceleration after November’s 0.3% increase. Retail sales data is adjusted for seasonal swings but not inflation. Sales at depart stores had the biggest gains, rising 3%, while gas stations, furniture stores, and personal-care retailers saw a drop. A strong labor market can boost sales, and the retail data followed government figures showing that hiring remained solid and unemployment held at a low 3.7% last month. (The Wall Street Journal)

Tallest Building … in Oklahoma: You may be surprised to learn that the tallest building in America might soon reach for the skies in Oklahoma. If approved, the building would be the world’s sixth tallest building. The symbolic height of 1,907 feet honors the year (1907) when Oklahoma was admitted as the 46th state of the United States. The development would feature three smaller buildings alongside The Legends Tower that will reach 581 meters, with a public observatory at the top, and a restaurant and bar where visitors can enjoy the sweeping views. The project would be mixed-use, spanning approximately 5 million square feet, including a Hyatt hotel, serviced condominiums, and 1,776 residential units ranging from market-rate to affordable amidst abundant retail and restaurant areas.

In case you’re wondering, here is the line-up of the tallest buildings in the world currently:

1) Dubai, United Arab Emirates – Burj Khalifa (2,717 feet)

2) Kuala Lumpur, Malaysia – Merdeka 118 (2,227)

3) Shanghai, China – Shanghai Tower (2,073 feet)

4) Mecca, Saudi Arabia – Abraj Al Bait Clock Tower (1,971 feet)

5) Shenzhen, China – Ping An Finance Center (1,965 feet)

— PROPOSED: Oklahoma City – Legend’s Tower (1,907 feet)

6) Seoul, South Korea – Lotte World Tower (1,819 feet)

7) New York City, USA – One World Trade Center (1,776 feet)