At 66 years old, one Sherman Oaks, California-based mom thought she’d be enjoying an empty nest with her husband. Instead, she’s sharing her home with an unexpected roommate: her 27-year-old daughter.

Since their 27-year-old moved back home in early 2024, the mother, who asked to remain anonymous to protect her daughter’s identity, says she and her husband are spending close to $5,000 a month covering all of her daughter’s living expenses, including food, transportation and health care.

Because of the increased expenses, she says they’re no longer going on vacation this year, and her husband, a radiologist, may have to delay retirement.  

“We were not planning on this kind of expenditure at this point of our lives,” the mother says. “The reason we do it is because we don’t want to see her on the street.”

The couple join a growing number of parents who say their finances have been affected by children aged 18 to 35 moving back home. One survey published in May by financial services provider Thrivent found that nearly 40% of U.S. parents say supporting their adult children has impacted their savings goals — the highest percentage since the survey began four years ago.

The parents from Sherman Oaks say their relationship with their daughter has become so strained that they’ve turned to Kim Muench, a parenting coach who specializes in young adults, for guidance.

Muench says “a good majority” of her clients have been affected financially by their adult children living at home. Many parents aren’t traveling like they typically would, are pushing off retirement and are forgoing other self-care expenses.

“Parents sometimes hesitate to get help for themselves and invest in their health … because they’re already spending more than they would like to support their adult or emerging adult children,” she says.

While using short-term savings to support adult children may mean missing a vacation or not going out to dinner as often, dipping into long-term savings or delaying retirement can lead to financial challenges later in life — especially if health issues or age make it difficult to keep working, experts say.

Some decisions, however, aren’t always driven by a lack of money: “I would say 80% is emotional, 20% is financial from the parents,” Muench says.

Many of her clients forgo vacations because they don’t trust their kids to stay home alone, Muench says.

The father from Sherman Oaks says that retirement wouldn’t just mean a loss of income, it would also mean losing access to his employer-sponsored health care — which currently costs the couple close to $600 a month for their daughter.

“At this point, I was hoping to do a lot more travelling … we’ve really put that on the back burner,” the mother says. “I thought my husband and I would have the house to ourselves with the dogs, and we wouldn’t be worried sick about her all the time.”

While many parents are happy to care for their adult children when they first move back home, there’s usually an expectation that the move will be temporary, Muench says. However, a lack of communication between parents and children, especially around finances, can often leave parents feeling stuck in a long-term living arrangement.

“When their son or daughter is not taking [financial responsibility] on incrementally, they actually get very worried that they will be financially providing for the rest of their lives,” Muench says.

Muench says parents can work with their adult children by having open, calm conversations to define financial boundaries together.

Instead of taking drastic measures, Muench suggests parents introduce gradual financial boundaries to help young adults build responsibility with support. Ask them to start small, she says, such as taking over their phone bills or putting a weekly portion of money away in a separate savings account to mimic paying rent.

“It takes consistent conversations, because it’s probably not going to happen in the first conversation,” Muench says. “And it takes an emotional maturity level on both the parents and the emerging adult side to figure out how they can work together.”

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House Republicans on Thursday voted to pass President Donald Trump’s massive budget bill, making good on a promise to deliver the legislation to the president’s desk by July 4.

The bill promises continuity for taxpayers by permanently extending the cuts from the 2017 Tax Cuts and Jobs Act as well as a raft of new cuts, including breaks for tipped and overtime income.

The new law also includes a throwback: an above-the-line deduction on charitable contributions.

The bill allows taxpayers who don’t itemize to deduct up to $1,000 for single filers and $2,000 for married couples filing jointly.

“This could provide some tax savings for folks,” says Erica York, vice president of federal tax policy at the Tax Foundation. “That could be something unexpected if you’re not currently deducting charitable giving.”

Most people don’t currently deduct charitable contributions — and it’s not because they’re not generous or don’t want a tax break. Other than under the Covid-19 relief bill, taxpayers generally have had to itemize deductions in order to get a break for charitable giving.

For most people, that doesn’t make sense. Some 9 in 10 taxpayers take the standard deduction, which in 2025 is $15,000 for single filers and $30,000 for joint filers. You’d typically only itemize if the sum of your deductions would save you more money than just taking the standard deduction.

In short, the new law allows anyone who donates to charity to get a tax break — not just the mega-philanthropists among us.

Because these deductions reduce your taxable income, they’re the most beneficial for people in the highest tax brackets. A $1,000 deduction from income is effectively worth $100 to someone in the 10% tax bracket. The same deduction is worth $350 to someone in the 35% bracket.

You’ll still have to follow the IRS’ rules on charitable giving to get the break. Donations must be made to qualifying charitable organizations — donations to political campaigns, crowdfunding efforts and, in the case of the proposed tax break, donor-advised funds won’t be eligible.

Before you make a donation you plan on deducting, check the IRS’ search tool to make sure the organization is tax-exempt. And be sure to get a receipt for your donation; the IRS generally requires written acknowledgement of any donation in excess of $250.

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President Donald Trump’s landmark spending bill is ready to be signed into law after Republicans in both chambers of Congress eked out the necessary votes ahead of the GOP’s self-imposed July 4 deadline to send the legislation to the president’s desk.

At its core, the bill permanently extends the tax cuts introduced in the 2017 Tax Cuts and Jobs Act while introducing a raft of new breaks. Some, such as an expanded child tax credit and an above-the-line deduction for charitable contributions, are permanent changes to the tax code.  

Others are slated to expire in 2028, at the end of Trump’s term in office.

That doesn’t mean they necessarily will. After all, the cuts from the TCJA were slated to sunset this year, a reality that “lawmakers across the board and … across the aisle” were hoping to avoid entering budget negotiations, Erica York, vice president of federal tax policy at the Tax Foundation, recently told CNBC Make It.

Still, as of now, four provisions — including some that Trump campaigned on — aren’t slated to stick around for long.

The bill creates an above-the-line deduction for tips earned by workers in occupations that traditionally receive tips. That means a bartender, for instance, would be able to deduct the total amount of their tips from their taxable income in a given year.

The deduction phases out for individuals making more than $150,000 a year, or $300,000 a year for joint filers. Taxpayers can deduct a maximum of $25,000.

The exemption also applies only to federal income tax. Tipped workers would still be subject to state and local income and payroll taxes.

From 2025 through 2028, workers can deduct overtime pay from federal income tax.

The deduction is capped at $12,500 for single filers and $25,000 for married couples filing jointly. The break begins to phase out for single filers making $150,000 or more ($300,000 for joint filers) and is unavailable to those making more than $275,000, or $550,000 for couples.

The bill allows for a deduction of up to $10,000 for new auto loans. To qualify, your loan must have been taken out after Dec. 31, 2024 for a U.S.-assembled car, minivan, van, sport utility vehicle, pickup truck or motorcycle for personal use.

The deduction starts to lose value for filers with incomes exceeding $100,000, or $200,000 for joint filers.

The average driver paid $1,332 of annual loan interest charges on new cars bought in 2024, according to AAA. To qualify for the full $10,000 deduction, you’d have to take out a loan of roughly $112,000 — a description of only about 1% of new car loans, according to data from Cox Automotive.

The bill creates a new type of savings account for children, with a one-time deposit of $1,000 from the federal government for U.S. citizens born between 2025 and 2028.  

Parents can make an annual after-tax contribution of up to $5,000 to these funds, to be invested in a diversified fund that tracks a U.S. stock index.  

If you’re one of these kids, you won’t be able to withdraw the money until you turn 18, and only half the money can be withdrawn between the ages of 18 and 25. Once you turn 31, you’ll receive any remaining funds in your account as a distribution.

Money that you use for qualifying expenses, including higher education expenses and first-time home purchases, is taxed at the long-term capital gains rate. Any other profits are treated as income, and, for beneficiaries under 30, subject to a 10% tax penalty.

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Billionaire entrepreneur and investor Mark Cuban says that artificial intelligence has the potential to generate more wealth for a single person than any individual has ever accumulated before.

Specifically, Cuban predicts that AI will help create the world’s first trillionaire, he said on a recent episode of the podcast “High Performance.” That person will be someone who is able to harness AI in a yet-to-be-discovered way, he added.

’We haven’t seen the best, or the craziest, of what [AI] is going to be able to do,” said the 66-year-old former “Shark Tank” star. “Not only do I think it’ll create a trillionaire, but it could be just one dude in the basement. That’s how crazy it could be.”

Currently, some people use generative AI to automate everyday tasks like making schedules and to-do lists. Others see AI as a virtual companion, guiding them on how to have difficult conversations or using them for personal reassurance. In the corporate world, Chipotle CEO Scott Boatwright told Fortune on June 9 that AI tools had cut his company’s hiring time by 75%.

That’s only the “preseason” of AI’s capabilities, Cuban said.

“Remember the early days of PCs and people were like, ‘I don’t need that. … What’s this internet thing? Why do we need it?’ Then it was smartphones,” said Cuban. “We’ll find something equivalent for AI and then, five years [later] … people will be like, ‘How did I live without it?’ People will make a lot of money.”

“I’m not saying we’re going to get the Terminator,” he added. “I’m not saying that all of a sudden, there are going to be robots that are smarter than people … But we’ll find ways to make our lives better.”

There are a few problems that come with AI, like it’s potential to displace jobs — tech companies like Shopify and Fiverr are strongly urging their employees to learn AI skills, and Duolingo will gradually stop using contractors for tasks that can be completed by artificial intelligence

People have also misused AI to carry out online scams and hoaxes, perpetrate cyber attacks and create and spread misinformation.

AI also has a significant environmental impact, as data centers require a lot of energy and water to keep their processors cool and running smoothly. Researchers found that training a model like Open AI’s GPT-3, for example, requires 1,287 megawatt hours of electricity, which is enough to power about 120 homes in the United States for a year.

But given how quickly the technology is evolving, Cuban argues that you’ll do yourself a disservice if you don’t at least try to familiarize yourself with AI.

“Download Gemini from Google. Download ChatGPT … and just ask your questions about anything,” he said. “But don’t assume the answers are right. And when you find something you don’t agree with, tell the AI you don’t agree with it,” to improve the bot’s performance and address any biases it may have.

“You have to realize that it’s not actually thinking … It’s not actually smart,” Cuban added. “But what it can do is find information and package it in a way that people can understand.”

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Has anyone ever told you, “Great job!” or “That was impressive!” — only for you to respond with, “I got lucky,” or “It was nothing!” If you’re downplaying your accomplishments at work, you’re potentially sabotaging your career. Outside the office, you might be undermining your relationships.

As the CEO of Soulcast Media and a global communication expert who’s taught over 2 million professionals how to speak with confidence, I know many people feel uncomfortable accepting compliments because they’re afraid it can come across as arrogant. However, in my book, “Smart, Not Loud: How to Get Noticed at Work for All the Right Reasons,” I talk about how accepting praise is a great way to foster deeper connection.

To start, you have to change your mindset around compliments. Instead of feeling awkward, embrace a “visibility mindset.” This means actively and intentionally making your contributions, value, and presence known. 

On the job, it ensures people see the impact you’re making — rather than assuming your work will speak for itself. It’s not boastful, it’s strategic. With friends and family, it can show people you value their opinion and appreciate their acknowledgement. 

But what do you actually say? Here’s how to accept a compliment in three simple steps:

Think of a compliment as a gift someone has picked out specifically for you. When a friend takes time to choose a present and offers it to you with enthusiasm, you wouldn’t push it away saying, “No, no, I can’t accept this.” That would feel dismissive and hurtful. Instead, you’d naturally smile and express your appreciation.

Compliments deserve the same kind of response. You can say: 

• “Thank you!” 
• “I appreciate the compliment.”
• “It’s really nice to be recognized.” 
• “Thank you, Sheila, it means a lot coming from you.”

The key is to respond with warmth and sincerity. Keep your tone genuine and relaxed, and don’t forget to smile. 

In a professional setting, reflect on how the work made you feel and shift the spotlight toward your efforts and abilities. When you offer this kind of context, you build on the impression that you’re capable and strategic. 

For example, after you show gratitude, you can say: 

• “Meeting the client’s deadline was no small task, but I’m so glad it all came together.” 
• “I absolutely loved having the opportunity to share our team’s numbers with senior leadership today. We are really proud of what we’ve accomplished.”

Similarly, when speaking with friends and family, adding perspective can invite deeper and more meaningful conversations. For instance, when a friend compliments your cooking, instead of, “Oh, it was just a simple recipe,” try:

• “Thank you! I’ve been experimenting with new flavors lately, and I’m glad you enjoyed it.” 

Accepting compliments is one of the best ways to reinforce what you’ve accomplished at work. It also gives you the chance to highlight other people and demonstrate your collaboration skills. 

For example, after you show gratitude and add perspective, you can say: 

• “It truly was a team effort. I’m lucky to have an amazing team to work with.”
• “The event was a huge success. I couldn’t have done it without Ashley. She helped bring this vision to life, too.”

In non-work related conversations, recognizing others can build social influence. When you bring others into the conversation, you’re making them feel valued and acknowledged. This is emotional intelligence at its finest and it’s the best way to create an environment where everyone feels seen and celebrated. 

In the end, compliments are a golden opportunity to foster connection — whether you’re speaking to a coworker, boss, friend, or family member. It’s a doorway that can lead to visibility and recognition at work and meaningful conversations everywhere you go. 

Jessica Chen, the founder and CEO of Soulcast Media, has taught over 2 million people how to elevate their communication skills. She’s a keynote speaker and a former Emmy-Award Winning TV journalist. Her book “Smart, Not Loud: How to Get Noticed at Work for All the Right Reasons” teaches smart professionals how to develop workplace confidence and build a career they love using strategic communications skills to stand out. Connect with Jessica on LinkedIn and Instagram. 

Are you ready to buy a house? Take Smarter by CNBC Make It’s new online course How to Buy Your First Home. Expert instructors will help you weigh the cost of renting vs. buying, financially prepare, and confidently navigate every step of the process—from mortgage basics to closing the deal. Sign up today and use coupon code EARLYBIRD for an introductory discount of 30% off $97 (+taxes and fees) through July 15, 2025.