64% of Gen Z still rely on their parents financially but the reason why is raising serious questions

The 2026 Wells Fargo Money Study is in its third year of research. It is a national online survey that was conducted from November to December 2025 on 3,773 U.S. adults and 215 American teenagers between the ages of 14 and 17. Published on March 30, he study highlights the important financial changes Gen Z is making with their money, and it also puts a spotlight on how Gen Z is redefining the meaning of the 'American Dream.' 

One striking finding reveals how parents of Gen Z adults are financially supporting them, and Emily Irwin, the head of Private Wealth Planning at Wells Fargo, has something to add. This seemingly popular practice of 'borrowing from parents' puts a strain on their relationship, which Irwin believes can be solved with proper communication. "What I really encourage parents to do is have direct conversations with their children. Discuss everything from: Is this a gift or a loan, or some sort of a hybrid? Is there an expectation of it being paid back, and if so, with or without interest? How long do they plan to be able to give financial support?" she told Fortune. The study revealed that 64% of parents with Gen Z children say that their children depend on them for financial support. On the other hand, 56% of the parents are also struggling financially while helping their children.

The 'American Dream' is evolving, with the study revealing Gen Z's unique perspective on financial success. They believe that owning and running a business can give them the freedom they need to maintain autonomy and control over their lives. Irwin commented on Gen Z businessowners, saying, "While entrepreneurship can offer freedom and flexibility, it also comes with financial risk, which is why preparation, resilience, and informed decision‑making matter more than ever." 

The study also showed how young Americans are becoming more confident financially by being more intentional with how they spend their money. Back in the 90s, life was all about achieving success through hard work, regardless of one's background. For Gen Z, the 'American Dream' is working towards building and owning a business. The 2026 Wells Fargo Money Study has some interesting statistics to back up this claim. Around 61% of adults say that owning a business is a part of their American Dream; 69% of Gen Z adults think the same.

74% of Gen Z adults who are not businessowners say that they want to own a business one day, and 58% of Millennials wish the same. More than half of Gen Zs and Millennials believe that owning a business would allow them to have some sort of control over their destiny, and 96% of business owners agree. However, as Irwin said, owning a business has its own pros and cons, as well as sacrifices one should be willing to make. 

Emily Irwin shared that Wells Fargo clients told her that they want "their dollars in action during their lifetime, versus simply at death." She elaborated on what they meant by saying, "Having gone through that cycle themselves, receiving an inheritance in their 50s, 60s, sometimes even 70s, is less impactful. They say to us, 'We got this, and we could have really used it when we were starting a family, buying a home, buying a business, paying down our debt, maybe making a career shift.'" 

A huge number of Americans are also turning to AI for financial advice. 40% of the participants have used this nontraditional approach to make the most out of their finances. At least 38% of Gen Zs have used AI to educate themselves when it comes to finances, and at least 90% of the users say that those ideas helped them. Irwin's advice for people who are using AI to educate themselves financially is: "Technology can help spark ideas and build awareness, but it works best when paired with a solid financial foundation, trusted guidance, and an understanding of how those insights apply to someone’s real-life goals."

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