92% of Grandparents Help Grandkids, but 11% Tap Retirement Funds

A survey of U.S. adults aged 55 and older found that 92% of grandparents provide some financial help to grandchildren. But a smaller share, 11%, said they had already used retirement savings or accounts to help. The findings come from a June 2025 survey by The Senior List.

The survey covered 1,200 older adults, including 413 respondents with at least one grandchild. Among grandparents who provide support, the report estimated average annual spending of $3,917, or about $234 billion nationwide. That estimate includes gifts and other forms of help, not just withdrawals from savings.

Most reported help takes familiar forms: 80% of grandparents said they buy gifts for special occasions, while 62% pay for clothing or shoes. Some support more basic needs. Fifteen percent help with day-to-day expenses such as meals or groceries, and 7% assist with housing costs.

The survey also points to pressure behind the spending. Thirty-nine percent said they feel obliged to ensure grandchildren “never go without,” even if that strains their finances. Seventeen percent said they had felt pressured to give beyond their comfort.

Some grandparents are also supporting older relatives. Sixteen percent said they provide financial help to both their parents and grandchildren, putting three generations’ needs on the same household budget.

A separate Society of Actuaries Research Institute report suggests the effect differs by age and retirement status. Among pre-retirees who support grandchildren over 18, 56% said that help moderately or strongly affects their retirement savings. Among retirees, just over one in 10 reported that level of impact from grandchild support.

The figures underline an important distinction: widespread giving does not mean most grandparents are drawing down retirement accounts. Still, The Senior List found that 51% would consider doing so, and 42% would consider delaying retirement to help grandchildren.