Mothers are more likely to need financial help from their children in retirement, new research says. Picture: Supplied

ONE in 10 Australians are providing financial assistance to their retired parents, and selfless mums are among those most in need of help.

New research by superannuation fund REST has found that home expenses, medical costs and rent payments are the main areas where financial help is given, often as a thank you for sacrifices previously made by the parents.

It says 10 per cent of ageing mothers and 8 per cent of fathers are getting financial support from their adult children. Mothers are up to three times more likely to need help with some expenses because their retirement saving had been affected by career breaks and the gender pay gap.

And the cycle looks set to continue, with two-thirds of those who support their parents believing they will need help from their own children when they retire.

Aussies are increasingly having to help out their elderly parents financially as the costs of living and medical expenses rise. Picture: Getty ImagesSource:Getty Images

“Our research shows that one in three retired parents have found themselves in financial difficulty as they put their family’s financial needs ahead of their own earlier in life,” says REST’s general manager of brand, marketing and communications, Mary Atley.

Previous REST research had found that 40 per cent of mothers risked burdening their families in retirement because they were not saving enough, while rising life expectancies and busier lifestyles are also making retirement more expensive.

“Australians are living longer than ever … they say 80 is the new 70, and be mindful that in 20 years’ time 90 will be the new 80,” Ms Atley said.

Social researcher Mark McCrindle said the incomes of Australians in their 40s and 50s were much more varied than previous generations, and some were able to help their parents.

“The attitude is that Generation X recognise the sacrifices that their parents went through to raise them. One in four have a university degree,” he said.

Mr McCrindle said that when many current retirees started working, the idea was that you could retire comfortably on a pension. “But that has changed as the cost of living increased, the expectations of retirees have changed, and the length of retirement has changed.”

Many of today’s retirees with homes were asset rich but cash poor, Mr McCrindle said, and their children would often get their money back through their parents’ estate.

Ms Atley said Australia’s superannuation system was not yet mature, so many retirees today had not had the benefit of accumulating super their entire working life. “It’s never too late to put a little extra into your superannuation to make sure you can enjoy the lifestyle you deserve in retirement,” she said.