• Opinion

The 'sandwich generation' -

- 2023-06-12 09:29:00

There is a portion of Namibia’s population that is more financially and emotionally stressed than the rest and goes unnoticed by most. A Savings and Investment survey done by Old Mutual two years ago indicated that 63% of Namibians are “sandwiched” between two generations who rely on them financially.
The sandwich generation refers to individuals who are responsible for providing financial support to both their ageing parents and their children at the same time. This group, typically in their 40s and 50s, can often feel "sandwiched" between two generations, as they are responsible for supporting their elderly parents while also raising their kids on a limited budget.
The median age in Namibia is around 22, which means that a large portion of the population is dependent. At the same time, the life expectancy in the country is around 63, which means many Namibians are living longer. A significant portion of these elderly people requires more financial support from their children, as is highlighted by the latest Namibian Household Income and Expenditure Survey (NHIES).
According to the report, 28% of Namibians live in multigenerational households. This means that almost one in three Namibians are part of a sandwiched household. No family is perfect but, in many instances, these homes are already strained by other social ills, only have one breadwinner or there are no financial mentors available in their immediate family or community.
Financial and emotional implications
The financial implications on the sandwich generation are significant and can be overwhelming. Supporting ageing parents can be costly, with expenses ranging from healthcare to daily living expenses. On the other hand, supporting children through their education and other expenses can also place a big strain on finances.
As a result, many of these individuals barely have enough financial resources left to build their wealth, compared to those without caregiving responsibilities. They also tend to have higher levels of debt, which can impact their ability to save for their retirement. This is worsening, with the drastic increases in the cost of living in Namibia in recent years.
The emotional toll of being part of this generation cannot be ignored either. Balancing the needs of ageing parents with the demands of raising children can create feelings of guilt, stress, resentment, and burnout. This can lead to increased anxiety and depression, which can further impact their financial, personal well-being, as well as their productivity at work.
How to cope and thrive
The one thing that will always turn a challenging situation into a bad one is the lack of a plan. Individuals in the sandwich generation need to seek support and resources to help manage their finances. For example, seeking out a registered financial adviser can help create a long-term financial plan that considers the needs of both elderly parents and children.
Your plan can include financial instruments such as retirement funds, life insurance, medical aid, education policies and more, which can ensure you have the means to support your loved ones. This type of planning will also ensure that members of the sandwich generation do not pass on the same burdens to their children when they grow old.
An important aspect of managing emotional stress is deliberate self-care. It is essential to take time for oneself to recharge and manage stress levels. This can include developing positive habits such as exercise or seeking professional help.
Insurance companies are committed to helping individuals navigate their financial journeys through different programmes aimed at providing individuals with financial literacy. They tend to offer a range of financial services that can help individuals manage their unique situations.
*Mauriza Fredericks is Old Mutual Namibia’s Group Brand Manager.
** Opinion pieces and letters by the public do not necessarily reflect the opinion of the editorial team. The editors reserve the right to abridge original texts. All newspapers of Namibia Media Holdings adhere to the Code of Ethics for Namibian Media, a code established jointly with the Media Ombudsman.