Control or freedom?

Abstract

Many parents save money for their children over the course of years to provide them with a solid financial foundation as they enter adulthood. This raises the question of whether young adults are capable of managing these funds responsibly or whether controls are necessary to prevent impulsive spending. The study examines the extent to which parental safeguards, such as phased access or lock-in periods, can help promote long-term financial stability and what role financial education plays in this process.

Analysis of the data leads to the recommendation to use methods such as phased access to a securities account, in order to provide young people with an additional safety net without unduly restricting their independence.

Methods

The study is based on an online survey of three target groups in Germany:

• Young adults, who assess their own financial behavior and the influence of external factors such as peer groups and social media.
• Parentswho describe their parenting strategies, control mechanisms, and expectations regarding their children’s financial behavior.
• Educational professionals, that provide an unbiased assessment of young people’s financial literacy and the role of financial education.

In total, 243 replies were included in the analysis. The collected data were analyzed using quantitative and qualitative methods, including descriptive statistics, hypothesis testing, and scenario analyses involving the use of different amounts of money.

Results

The key findings of the study are:

• Young adults plan generally reasonable with larger sums of money, but the Share of consumer spending Across all income brackets, and especially when large sums of money become suddenly available, this can lead to uncontrolled spending.
• Peer Groups and Social Media have a significant influence on financial decisions, often more so than the respondents themselves realize.
• Parental controls While measures such as staggered access or waiting periods can help limit impulsive spending, they should be designed in consultation with the child to encourage personal responsibility and achieve the best results.
• Financial literacy is crucial: The study shows that financial literacy is taught more by parents than through school programs. Better integration of education and practical safeguards could reduce financial missteps in the long term.
• Sample calculations show potential savings: Control mechanisms and deliberate savings strategies can yield significant financial benefits. Especially when dealing with large sums of money, structured financial planning reduces the risk of impulsive spending.

The findings suggest that a combination of early financial education, parental guidance, and a gradual shift toward personal responsibility is the most effective strategy for preparing young adults for a stable financial future.

Summary of the Study

The following section provides a detailed summary of the key findings and data from the study. You can read the full text of the study here download (/wp-content/uploads/2025/03/I4K-Study-New-Formatting-1.pdf)

Introduction

Financial planning for children and teenagers is a top priority for many families. Parents save money over the years to provide their children with a solid financial foundation as they enter adulthood. This often takes the form of savings accounts, investment accounts, or designated gifts that are released once the child reaches the age of majority.

But with the sudden availability of a substantial amount of money, a crucial question arises: Are young adults capable of handling this financial responsibility appropriately, or is there a risk that the money will be spent recklessly?

Many parents are skeptical about giving their children early access to large sums of money and fear impulsive spending decisions that could jeopardize long-term financial security. They therefore rely on control mechanisms to manage access to the funds—whether through lock-in periods, staggered disbursements, or guidelines for use. Others, however, argue that financial self-determination can only be learned through personal experience and that excessive control hinders the learning process.

This study focuses on the conflict between parental care and financial independence. The data collected here will be used to develop a data-driven overview of young adults’ spending habits when large sums of money become suddenly available, which will serve as the basis for recommendations for action, such as control mechanisms for accessing investment accounts.

Background

The research was based on a review of the existing research literature and studies on the development of financial literacy, as well as current economic conditions and reports on the spending habits of young people. The following is an overview of the key findings and observations regarding this initial situation:

Developmental Psychological Foundations of Financial Socialization

The ability to manage money responsibly is shaped by socialization as early as childhood. Parents play a key role in this process by teaching financial skills through their own example, conversations, and an allowance system. Young adulthood marks the transition to managing one’s own finances, with external influences such as social media, peer groups, and advertising becoming increasingly significant.

Theoretical models of decision-making, particularly those from behavioral economics, show that people often do not act purely rationally but are influenced by short-term incentives (“present bias”). Studies such as the famous Stanford Marshmallow Experiment demonstrate that the ability to delay gratification has a positive impact on long-term financial behavior, but many children fail to forgo immediate rewards, even when doing so would yield a benefit in the future.

How young adults behave when they suddenly come into a large sum of money

Research shows that many young adults feel overwhelmed when they suddenly come into large sums of money. Studies of lottery winners indicate that unprepared individuals often spend their winnings quickly and later experience financial difficulties. The so-called “windfall gains effect” describes the phenomenon whereby unexpected sums of money are viewed more as “play money” and are spent impulsively.
Such studies and reports suggest that young adults are also tempted to make impulse purchases when they gain access to a brokerage account upon reaching the age of majority.

The Role of Parents: Upbringing, Trust, and Mechanisms of Control

Parents play a significant role in shaping their children’s future financial behavior through their parenting styles and active financial education—using methods such as giving an allowance, discussing money, and setting a good example—and should actively participate in their children’s financial education.

Control mechanisms, such as waiting periods or staggered approvals, can prevent impulsive mistakes. Behavioral economic theories suggest that such measures are effective when they give young adults time to reflect. However, overly strict controls could encourage defiant reactions and risky behavior.

External influences and contextual factors

In addition to parental upbringing, external factors have a significant influence on financial behavior:

• Peers and social media: The pressure to follow consumer trends can lead to even well-thought-out financial plans being scrapped.
• Financial literacy: Schools in Germany provide only limited financial education. According to a Mastercard study, young people primarily view their parents as their primary source of financial guidance, while social media is playing an increasingly important role.
• Cultural factors: Saving and spending habits are strongly influenced by social background. Studies also show that women often receive less financial education than men.

Above all, peer groups and social media are considered risk factors that can have a significant impact on young people’s spending habits. These can be counteracted through parental guidance and monitoring mechanisms.

The State of Young Adults' Financial Behavior in 2024

Young adults are currently facing increasing financial challenges:

• Low financial literacy: Germany lacks mandatory financial education courses. Many young people rely on online resources and their own experiences.
• Consumer behavior: Priorities often center on leisure, fashion, and digital goods. Peer pressure and influencer marketing reinforce short-term consumption decisions.
• Rising debt: "Buy now, pay later" models and microtransactions in online games encourage impulsive spending.
• Saving and investment habits: While some people invest in ETFs or cryptocurrencies, they often lack a systematic understanding of the risks involved.

As a result, there is currently a significant tension between sensible financial decisions and consumer desires. In general, there is a positive trend among young adults, who are genuinely concerned about their financial future and want to make provisions for it. Nevertheless, they live in a world heavily influenced by the media and consumerism, which makes this difficult.

These background factors and contextual relationships were used in the study to formulate hypotheses about the financial behavior of young people and to examine them using data collected through questionnaires, with the ultimate goal of developing recommendations for control mechanisms for investment accounts.

Methods

This study examines the financial decision-making processes of young adults when they first gain access to larger sums of money. It focuses on the role of parental upbringing, control mechanisms, and external influences. To obtain a comprehensive picture of these relationships, three different groups were included in the study: young adults, parents, and education professionals.

Study design

The study is based on an online survey conducted using three different questionnaires. These were specifically tailored to each target group in order to capture relevant aspects from various perspectives.

The first questionnaire was aimed at young adults around the age of majority. It focused on their financial behavior, their attitudes toward saving and investment decisions, and their reactions to hypothetical scenarios in which they suddenly had access to large sums of money. In addition, the study examined the extent to which external factors such as peer groups, social media, and advertising influence their behavior.

The second questionnaire was aimed at parents who had built up or planned to build up financial reserves for their children. The goal was to determine what parenting strategies they use with regard to financial education, to what extent they consider control mechanisms to be useful, and what expectations they have regarding their children’s behavior if they suddenly came into money.

The third group consisted of education professionals such as teachers, early childhood educators, and school social workers. They were asked to provide an objective assessment of young people’s financial literacy, grounded in their expertise and experience and free from family ties. They were also surveyed about their perceptions of financial education in schools and about potential factors influencing young people’s spending and saving behaviors.

By combining these three perspectives, the study was able not only to capture individual decisions and behaviors, but also to analyze the influence of family upbringing and external environmental factors.

Sample and survey method

Data was collected using standardized online questionnaires, which were completed anonymously. A total of 238 people participated in the study. This group consisted of 128 young adults, 100 parents (some of whom provided information for multiple children, resulting in 105 responses), and 10 education professionals.

All participants were informed in advance about the study’s objectives, the anonymization of data, and the voluntary nature of participation. Personal data such as names or addresses were not collected.

Data Analysis

The study was analyzed using a combination of quantitative and qualitative methods.

Descriptive statistics were used to analyze the closed-ended questions in order to identify key trends within the sample. This involved calculating frequencies, means, and percentage distributions, which revealed patterns in the participants’ financial behaviors and attitudes.

In addition, comparative analyses were conducted between the survey groups. In particular, the study examined whether parents were able to accurately assess their children’s financial literacy or whether there were discrepancies between parental expectations and the actual behavior of the young adults.

Another key focus was on hypothesis testing. The study posited that parental control mechanisms can reduce impulsive spending, that a combination of financial education and structured safeguards yields the most lasting effect, and that control mechanisms are particularly effective in consumption-oriented environments. These assumptions were tested and evaluated using the collected data.

Scenario analyses were conducted to examine individual financial decisions in detail. Participants were asked to indicate how they would use various sums of money (€10,000, €20,000, €50,000, and €100,000). These responses were compared with parental expectations to identify misjudgments or realistic assumptions. They also served as the basis for sample calculations regarding the potential savings that could result from various control mechanisms.

Ethical Considerations

Since the study dealt with personal financial matters, particular emphasis was placed on data protection and ethical standards. Participation was strictly voluntary, and the anonymity of all participants was guaranteed at all times. No sensitive personal data was stored or shared. The goal was to enable as open and unbiased an analysis as possible of the financial behavior of young adults without infringing on their privacy.

Overview of the survey results

The following is a summary of the key findings from the participants’ responses. A detailed analysis with figures and percentages can be found in the full text of the study.

Results of the Parent Questionnaire

The survey shows that parents introduce their children to managing money at an early age, but their approaches fall into two distinct categories. Some give their children a great deal of freedom and trust that they will learn responsibility, while others take a more controlling approach and prefer to exercise greater oversight.

Despite these different approaches, many families discuss the value of money and the importance of responsible financial planning. Many parents place great emphasis on teaching basic financial skills in everyday life and use practical examples such as shopping together or giving an allowance.

One important consideration is access to existing savings and larger sums of money. Some children are already allowed to manage their own money freely, while others may do so only under their parents’ supervision. Despite these differences, many parents aim to help their children develop responsible financial habits.

At the same time, it becomes clear that advertising, peer groups, and trends on social media have a significant influence on children’s spending habits, and that parents perceive peers and social media in particular as a major source of external pressure to spend money—sometimes unreasonably so.

Figure: Parent Questionnaire – Weighting of Influence Categories

Most parents assume that, despite all the temptations, their children generally handle money responsibly, although these views may reflect their hopes rather than a realistic assessment of the situation. Overall, however, most parents are realistic and expect their children to make both planned investments and spontaneous or impulsive purchases.

Figure: Parent Questionnaire – Use of €5,000

The survey also shows, in scenarios where the account balance at the age of majority ranges from €10,000 to €100,000, that most parents expect their child to set aside or invest a significant portion of a larger sum for long-term goals rather than spending it all immediately. However, it also becomes clear that experiences and consumption desires take center stage, especially with moderate amounts. As the amount of available funds increases, the priority shifts more and more toward saving and investing—presumably because larger sums of money are available and investing involves less sacrifice.

Figure: Parent Questionnaire – Comparison of Scenarios: Weighting of Expenditures

In many families, the topic of money rarely leads to conflict, as children have often already had their first positive experiences with saving or spending their money wisely. When tensions do arise, parents assess their ability to influence the situation differently: While some rely entirely on their parenting skills, others prefer specific safeguards or concrete guidelines, or specifically want more control.
Ultimately, the study makes it clear that confidence in their own children’s financial maturity is generally high, although some mothers and fathers remain cautious and would continue to keep a close eye on larger sums in the future. Many parents would like to see more control mechanisms when it comes to large sums of money, such as those held in investment accounts.

Results of the Young Adult Questionnaire

The analysis shows that many young adults already have their own income, whether from part-time jobs, vocational training, or full-time employment, while others receive financial support from their parents only occasionally or not at all. Family influences are clearly evident here, as most respondents report having discussed money with their parents at least occasionally and confirm their parents’ assumption that they have a strong influence on their children’s financial behavior.

There are differences in their actual living situations, as some have very few savings or are more dependent on financial support from their parents, while others already have access to larger sums of money.

At the same time, it is clear that school and classroom instruction have little or no influence on financial behavior for many people, while friends, personal interests, and media trends often play a greater role. Some respondents identify external expectations and pressure as a risk factor for impulse spending.

In the spending categories, expenses for experiences and consumer goods consistently rank high, although many of the participants also report that they are already saving for the future.

Figure: Young Adults Questionnaire – Daily Expense Categories

If they suddenly had access to hypothetical sums of money, most respondents would invest and save the majority of it for the long term, followed by short- to medium-term savings. While desires to spend do emerge, they generally take a back seat to the need for security and wealth accumulation.

Figure: Young Adults Questionnaire – Comparison of Scenarios: Open-Ended Expenditure Categories

According to the participants themselves, the issue of long-term financial security plays an important role in almost all cases, a fact reflected in the young adults’ responses regarding their spending habits and future plans. Overall, the participants indicate that they are concerned about their financial future and wish to make provisions accordingly.

Nevertheless, there is also a legitimate and significant need for spending on consumer goods, leisure activities, and experiences that influence people’s perceived quality of life. In today’s world, the costs of these things are constantly rising, while other factors, such as income, rarely keep pace. Reactions to this tension vary, ranging from frugal spending to defiant behavior. However, the responses from the 128 young adults reveal predominantly sensible attitudes, although self-assessment and reality may also diverge.

Results of the Educator Questionnaire

The educators surveyed generally view children and adolescents as relatively easily influenced when it comes to spending. Family upbringing is seen as playing a particularly formative role, but the influence of friends, social media, and advertising is also perceived as significant.

Figure: Educator Questionnaire – Influencability of Financial Behavior

Teachers also largely agree that schools and classroom instruction could play a key role in providing financial education. At the same time, they point out that financial topics are often covered inadequately or inconsistently in everyday school life, even though many students are interested in them.
Since there is a lack of mandatory financial content in the school curriculum, young people draw their knowledge—in addition to financial education from their parents—primarily from the internet and are strongly influenced by their friends, social media, and trends.

Figure: Educator Questionnaire – Factors Influencing Financial Behavior

The responses make it clear that, in the educators’ experience, children and adolescents tend to prioritize short-term consumption needs when dealing with smaller amounts of money. As the available funds increase, awareness of the need to save or invest a portion of the money does grow, but spontaneous purchases and rather short-sighted decisions still dominate.
Only when dealing with truly large sums do respondents anticipate a significantly stronger inclination toward long-term plans and strategic money management. In all scenarios, however, the willingness to prioritize spending on mobility—such as a driver’s license—remains high, reflecting a desire for independence and flexibility.
Educators emphasize that parents and children should work together to develop a mindful approach to money. Many view control mechanisms as a supportive measure, as long as they do not become excessive. Close monitoring is viewed critically because it can hinder the development of independent decision-making. Rather, it is important to gradually introduce young people to large sums of money and financial responsibility so that they learn early on what it means to plan realistically and reflect on their own spending habits.

Figure: Educators' Questionnaire – Wavering Judgment When Suddenly Receiving Large Sums of Money

According to experts, young people in particular—who generally manage their finances responsibly—might be tempted to change their spending habits in the short term if they suddenly come into a large sum of money. The respondents therefore recommend fostering a greater awareness of saving and investing at an early age. This would help reduce impulsive, ill-advised decisions and encourage young people to think more long-term.

Figure: Educator Questionnaire – Long-Term Benefits of Control Mechanisms

Experts view monitoring mechanisms as a helpful additional safeguard, and educators caution against underestimating the allure of sudden cash payments and the power of outside influences, to which even generally sensible children are exposed. Fair monitoring mechanisms, such as phased access to funds, can serve as a safety net in this regard.

Discussion of the results

The study examines how financial safeguards—particularly those involving parental oversight—influence the spending habits of young adults and whether they can reduce impulsive purchasing decisions. It focuses on the differing perspectives of parents, young adults, and educators, as well as a comparison with current reports on the financial behavior of young people in 2024.

The following is a summary of the key findings, organized into thematic categories:

Spending habits of young adults

The results show that young adults primarily use their money for short-term consumption when the amount available is still manageable. The higher the amount, the more the focus shifts toward strategic saving and investing. For example, in the €100,000 scenario, a significant portion of the funds is directed toward long-term investments such as securities or real estate.

Nevertheless, there remains a significant proportion of spending driven by spontaneous needs, as the desire for immediate consumption is diminishing only gradually. Parents generally tend to overestimate this tendency to save, while educators tend to confirm that significant long-term planning occurs only when dealing with truly large sums of money.

External factors

Social media, advertising, and the social environment play an important role in consumer behavior. Young adults themselves often view their choices as self-determined and, by their own account, do not feel overly influenced. However, research from 2024 suggests that the influence of trends and digital advertising is frequently underestimated.

While many parents and educators believe that external factors have a very strong influence, there is a certain discrepancy among young adults between the actual extent of that influence and their personal perception of it.

The Role of Financial Education

Both parents and educators point out that schools still provide very little structured financial education, which is why young adults primarily learn these skills at home. This underscores the importance of family education: where mothers and fathers provide concrete guidance and actively involve their children in budget matters, a more forward-looking financial mindset takes root, whereas without such guidance, short-term needs often take precedence.

At the same time, those surveyed warn that young people are increasingly turning to self-proclaimed financial experts on social media, whose recommendations are only superficially professional and sometimes paint a distorted picture of making a quick buck.

Precisely because schools do little to foster financial literacy, a lack of guidance, combined with questionable online advice, can lead to long-term financial planning being neglected and young people making risky or ill-considered investment decisions.

Effectiveness of parental control mechanisms

A key focus of the study is the question of whether—and to what extent—parental control can help reduce impulsive purchasing decisions. Parents and educators often assume that phased or restricted access to larger sums of money is indeed effective in preventing hasty spending.

The responses from young adults indicate that many young people understand why their parents monitor their spending. About 40% of those surveyed find this justified but emphasize that they also feel restricted. Overall, it appears that while the majority understands their parents’ interest in their finances, their desire for independence is steadily growing, reflecting the transition from dependent youth to self-reliant adults.

Empirical evidence shows that targeted restrictions can indeed lead to a decline in impulse purchases. However, it is crucial to strike the right balance so as not to hinder the development of independent financial literacy.

Comparison with recent studies

The study’s findings largely align with external research, which indicates that young adults are caught between a growing sense of independence and parental support. Savings and investment behavior shows a clear upward trend as soon as larger sums of money become available. At the same time, respondents tend to underestimate the influence of social media.
Official statistics for the year 2024 reveal a similar trend toward greater financial autonomy, while the subjective assessment of one’s own independence is often greater than the actual data suggests. However, due to economic crises, awareness of the importance of financial planning among young people is currently very high, even though they perceive insufficient opportunities to effectively secure their future without significant restrictions in their daily lives.

Hypothetical scenarios and expenditure allocation

To illustrate behavior in various everyday situations, sample scenarios involving amounts ranging from 10,000 to 100,000 euros were examined. The analysis showed that as the amount of money increases, the proportion allocated to long-term savings and investments rises significantly, while the proportion of consumer spending declines.

Nevertheless, a significant portion is always left over for spontaneous spending, which confirms that financial education and supportive control mechanisms can go a long way toward reducing impulsive decisions.

Recommendations for Action

The study shows that parental control mechanisms can help reduce impulsive consumer spending and promote sustainable financial planning. Especially when large sums of money are involved, strategically managing access to funds leads to more money being invested for the long term and less being spent on short-term consumer desires.

At the same time, it is crucial that such mechanisms not be imposed unilaterally, but rather developed together with the children or with their future needs in mind, in order to foster a sense of personal responsibility and avoid resistance.

Potential savings through control mechanisms

The sample calculations show that targeted control of the money supply can lead to significant savings. Based on the responses to the questionnaires, it was possible to calculate a rough estimate of the amount of money that would be spent on consumer spending under each scenario:

The sample calculations show that carefully managing cash flow can lead to significant savings. For example, if the portion of income spent on consumption is reduced by 25%, the following amounts can be saved and used for long-term goals:

The exact amount of savings depends on the control mechanism selected. The following potential savings amounts were identified. To realize these savings opportunities, the following measures have proven effective:

• Phased release of funds

Instead of providing a large sum of money all at once, the funds can be disbursed in several installments (e.g., 10% immediately, 30% after one year, 30% after two years, and 30% after five years). This helps prevent impulsive financial mistakes and gives young adults time to develop financial foresight.

• Incentives for long-term saving

Parents can provide additional incentives by offering rewards for money saved. For example, a portion of the money could be released as a bonus if a certain amount has not been spent over a set period of time.

• Mandatory investment portion

One option is to invest a fixed portion of the money directly in long-term investments such as ETFs, stocks, or fixed-income accounts. This automatically sets aside a certain portion of the money for the future.

Based on the sample calculations for the scenarios, these models could result in the following savings for a portfolio of €100,000: This automatically sets aside a portion of the money for the future.

While safeguards can help reduce poor financial decisions, it is important that they not be perceived as a restriction or a form of control. Young adults want to manage their own money and may view restrictive guidelines as excessive control, which can lead to defiant behavior.

Open communication about the pros and cons of different models fosters understanding and acceptance. When children feel that they are being included in the decision-making process, they are more likely to view the measures as fair and be willing to take on financial responsibility.

That is why parents and children should discuss sensible protective measures together or, when opening an investment account for a young child, use tiered monitoring systems that allow the child a certain amount of freedom later on while limiting uncontrolled spending, thereby providing a safety net for the child’s long-term financial security.

Summary of the discussion

This study suggests that while young adults do not generally handle money recklessly, they tend to prioritize short-term consumption, particularly when dealing with smaller amounts. As the amounts available increase, the focus shifts more toward savings and investment goals. It should be emphasized, however, that the desire for consumption does not diminish. Thanks to the larger amounts of money, the desire to consume in the higher-income scenarios can already be met with a smaller overall share of the total amount without having to make sacrifices, which is likely to result in a willingness to use money for investments.

The influence of advertising, social media, and friends has been proven to exist, yet it is often underestimated by the young people themselves. Parental controls can help reduce impulsive spending and are generally viewed as justified by young people, although a reasonable degree of personal responsibility is essential.

At the same time, the surveys show that financial education in schools remains inadequate, which further underscores the importance of parents’ role in their children’s education. Overall, the findings highlight the need for a comprehensive approach that combines financial education, hands-on learning experiences, and the judicious use of parental safeguards to empower young people to engage in responsible, long-term financial planning.

Restrictions

The study provides valuable insights into the financial behavior of young adults and the influence of parental control mechanisms, but several methodological limitations should be taken into account:

A potential source of bias stems from parents’ subjective perceptions, as they may idealize or underestimate their children’s behavior. Similarly, young adults might view their own financial behavior in an unrealistically positive light, which could lead to a discrepancy between their self-assessment and their actual behavior.

To compensate for such misjudgments, three distinct survey groups were specifically included. While parents were able to assess the parenting aspect and their children’s past financial habits, the educational professionals provided a neutral perspective on young people’s financial literacy, free from family ties. Although this reduces the risk of biased individual statements, it does not replace direct observation of actual financial behavior in real-life decision-making situations.

The limited sample size of 128 young adults, 105 parental responses, and 10 education professionals also limits the generalizability of the results to the general population. However, it does provide an overview of current trends.

In addition, the study is based on hypothetical scenarios in which participants were asked to describe how they would handle various amounts of money. Since actual financial decisions are often influenced by spontaneous impulses or unforeseen factors, there may be discrepancies between the survey results and real-world behavior.

Nevertheless, the combination of multiple perspectives allows for a nuanced analysis and provides valuable insights into which factors promote sustainable financial planning among young adults and which control mechanisms might actually be effective.

Conclusion

This study examines the spending habits of young adults and the impact of account protection measures on their financial security. Based on the findings from surveys of parents, young adults, and educators, several key conclusions can be drawn:

The study shows that young adults generally handle sudden windfalls of money responsibly. Nevertheless, a consistent portion of their income is spent on consumption, regardless of the amount available. While the focus shifts increasingly toward long-term savings and investments as the amount of money available grows, spontaneous spending decisions remain an integral part of their financial planning. Peer groups are a key influencing factor here, significantly shaping the purchasing decisions of young adults.

To curb impulsive spending without unduly restricting young adults’ independence, a combination of financial education and moderate control mechanisms has proven effective. The sample calculations show that targeted measures can lead to significant savings by promoting conscious financial planning. It is crucial not to impose control systems unilaterally, but rather to discuss them with the child or teenager so that both sides perceive them as fair.

The majority of young people surveyed acknowledge that parental control is reasonable and justified even as they approach adulthood, but emphasize that they also feel restricted by it. A phased approach to granting financial independence is particularly suitable here, as it ensures financial security while allowing for spending within a controlled framework. This promotes independence step by step, while keeping uncontrolled spending in check.

Overall, the study’s findings suggest that early financial education, combined with personalized safeguards, leads to better financial decisions in the long term and strengthens the financial security of young adults.

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The complete list of references used for the study can be found in the appendix to the Full text (opens in new tab)