She lives with her parents and travels the world while saving for her future — why Gen Z says moving home can be the smartest money move

At 22, Hernandez, who is finishing her studies and works part-time as a social media influencer, has already assembled the kind of travel itinerary that could make someone twice her age start checking their remaining vacation days: Austria, Italy, Costa Rica, Guatemala, Hawaii and the Virgin Islands.

Her secret isn’t a six-figure salary — it’s living with her parents.

“I think living at home has allowed me to do both — save for my future while still enjoying experiences like traveling,” she told Moneywise.

Around 25 million Americans under age 35 were living with their parents in 2025, according to a June report from Realtor.com based on Census Bureau data.

So is moving back in with Mom and Dad holding young Americans back? Or, in today’s economy, has it become one of the smarter ways to get ahead?

Back in the childhood bedroom

The number of young adults living with their parents has now climbed to its highest level on record, surpassing even the peak seen during the COVID-19 pandemic.

Hernandez became part of that trend last year, when she left college and moved back in with her parents. She is now finishing school and will begin student teaching this year, making staying home as much a practical decision as a financial one.

For now, Hernandez has no plans to move out. She said she is grateful to have the option to stay home while she finishes school rather than feeling pressured to leave simply because she has reached a certain age. And without rent eating into her budget, she can put more of her money toward the goals she has for what comes next.

“One of my biggest financial goals is paying off my student loans,” she said. “I’m also hoping to eventually start my own business, so I’d love to continue building my savings so I have the financial freedom to pursue that when the time comes.”

That does not mean Hernandez plans to live with her parents forever. Looking five to 10 years ahead, she imagines being married and moving out to begin the next stage of her life. Until then, however, taking on an apartment of her own simply for the sake of independence does not feel worth the expense.

“For me, moving out just to say that I live on my own doesn’t make as much financial sense right now when I have the opportunity to save, pay off my loans, finish school and prepare for my future,” she added.

And that potential savings can add up quickly. The average U.S. apartment rents for about $1,763 a month, according to RentCafe, though prices vary considerably depending on location, size and the quality of the unit.

Rent isn’t the only expense Hernandez avoids. She also saves on groceries, thanks to meals at home and parents who sometimes bring food back for her after they go on date nights.

The complications of moving back home

Moving back home can give young adults some financial breathing room, but that support does not come from nowhere. Many parents are already part of the so-called sandwich generation, helping adult children while caring for aging parents and trying to save for retirement themselves.

A 2025 Athene survey found that nearly three-quarters of sandwich-generation respondents had adjusted their retirement goals to financially support adult children or aging relatives. In fact, 34% said they expected to delay retirement altogether.

And that support can extend well beyond offering up a spare bedroom. A Clever survey found that half of recent college graduates still receive some financial help from their parents, and 31% of Gen Zers said their parents pay all of their bills.

“When you live with your parents, it can be harder to feel like you can establish your independence in the world,” Clara Haverstic, a data analyst at Clever told USA Today.

When it makes sense

For recent graduates, moving out is not always as simple as deciding they are ready. Finding a full-time job that can cover rent, groceries, student loans and everything else that comes with adulthood can take time.

Among recent college grads ages 22 to 27, unemployment climbed to 5.7% in June 2026, compared with 4.1% for all workers, according to the Federal Reserve Bank of New York.