Advantage Goes to Three-Generation Households

By Athan Bezaitis on August 12, 2009 7:44 AM

Living in a three-generation household can enhance the economic well-being of children, according to a new study from researchers at USC and the University of Massachusetts Boston.

The findings, to appear in the Journal of Family Issues this November and now available online, indicate that children living in single-mother families which include a grandparent are substantially less likely to be living below or near the poverty line compared to children living in mother-only homes.

“The implications of this research are particularly salient as we are facing an unprecedented economic crisis in the United States,” said Lindsey A. Baker, a postdoctoral fellow at the USC Davis School of Gerontology and co-author of the study. “Multigenerational co-residence will likely be a strategy used by many to deal with financial hardship caused by the loss of a job, house or retirement savings.

In the United States, more than six million children under the age of 18 live with at least one grandparent. Of these children, 2.5 million are part of a single-mother family that includes the child’s mother as well as one or more grandparents.

Using data from the Survey of Income and Program Participation, the researchers found that the presence of just one grandparent makes the odds of living below the poverty line 80 percent lower than for children living without a grandparent, and children living with two grandparents are at an even greater advantage, according to the study.

In addition, the study also revealed that the largest single source of income in single-mother, three-generation homes is the contributions of grandparents, including cash transfers and Social Security income, Baker said.

“The pooling of resources has long been identified as a benefit of household extension,” said lead author Jan E. Mutchler of the University of Massachusetts. “The easing of financial difficulties has been highlighted as an important goal motivating the formation of multigenerational households. Grandparents are often the first family members called upon when families are troubled or in need.”

Grandparents contribute time, caregiving and financial resources, and they often share the role of parenting the child, the study reported, especially in single-mother families, which are at high risk of poverty and hardship.

With the number of single-mother, three-generation households predicted to rise, the researchers suggested future studies might measure the implications of these living arrangements on accessibility to public support, such as food stamps and free lunches. More information, they said, is also needed about the characteristics of individual grandparents that are conducive to improving economic security for children.

The research was made possible by a grant from the National Institute of Child Heath and Human Development and a training grant from the National Institute on Aging.

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