The sandwich generation is made up of people quietly holding three generations of care together. There are no official training sessions or “I agree” checkboxes that mark your transition into caregiving. One day, and all of a sudden, you’re raising children, supporting aging parents, and still somehow managing careers, households, and your own health. It’s a role rooted in love and purpose, but also in exhaustion, worry, and the sense of being stretched too thin.

If this sounds familiar, you’re not alone. Millions of people are navigating this same middle ground. Without a clear financial strategy, these responsibilities can leave you feeling overwhelmed and uncertain about achieving long-term goals. That’s where structured planning and targeted financial tools make a difference for optimizing your finances as part of the sandwich generation.

What is the sandwich generation?

The term “Sandwich Generation” refers to adults who are simultaneously caring for aging parents and raising children. These individuals often find themselves “sandwiched” between two generations, creating unique emotional and financial pressures.

About a quarter of U.S. adults (23%) fit this description, providing financial support to children under 18 or to adult children, while also helping parents aged 65 or older.

Women in their 40s and 50s are most likely to carry the heaviest burden. According to AARP, over 60% of caregivers in the U.S. are female, and they report higher rates of physical and emotional stress. University of Michigan studies estimate that about 2.5 million Americans provide care to older family members while also raising children, dedicating roughly 75 hours a month to caregiving.

It’s a demanding season of life. These dual responsibilities can create midlife financial stress that also ripples through work and health, especially for professionals juggling demanding careers, the pressure to save for retirement, and supporting children.

The modern financial reality for professionals over 50

Peak earnings, peak demands

By their 40s and 50s, many professionals are earning more than at any other point in their careers, yet these peak earning years often feel the most demanding. They’re balancing career obligations, family needs, and in the current economic climate, rising everyday costs.

Out-of-pocket caregiving expenses alone can take a substantial chunk of income. A 2023 New York Life Wealth Watch survey found that nearly half of sandwich-generation adults said caregiving costs prevented them from meeting essential household needs in the past year.

On average, family caregivers spend 26% of their income on caregiving activities, AARP revealed in a recent study. This puts added pressure on an age group already balancing large everyday expenses. Americans in their 50s carry an average of $97,300 in debt, which includes mortgages, credit cards, home equity lines, and outstanding student loans.

How multiple financial priorities collide

Even with strong earnings, the constant outflow of money—and energy—can make it hard to stay on track with retirement goals or life milestones. Balancing these demands often means cutting back on retirement contributions or delaying major life milestones.

Education costs: Funding education and extracurriculars for school-aged children and/or post-secondary education efforts for adult children.
Major life milestones: Moving adult children back home after college, supporting them as they launch their careers, start families, and raise children of their own.
Eldercare: Expenses for medical care, assisted living, or home modifications.
Cash flow debt obligations: Previously accumulated high-interest credit card balances, personal loans, or short-term financing.

Without a clear plan, these financial demands can feel overwhelming. But small, intentional steps—like consolidating debt or creating a shared care plan with family— can make the load more manageable.

The emotional and financial toll of being “sandwiched”

Time, pressure, and mental load

The weight of managing three generations isn’t just financial. Research in PMC notes that financial stress can impair sleep, concentration, and overall mental health. That stress compounds for sandwich generation caregivers, who juggle full plates almost constantly, from school events and medical appointments to household responsibilities and career demands.

Financial clarity can provide relief. If you have lingering debt or complex finances, start there and find ways to simplify. By consolidating debts or streamlining obligations, for example, you can reduce mental clutter and help restore a sense of calm and control.

Common financial mistakes midlife professionals make

Even high-income earners with the best intentions can fall into patterns that exacerbate midlife financial stress. These habits are understandable—born from generosity and obligation—but they can quietly erode long-term stability.

Overspending on family needs while underfunding retirement.
Taking on high-interest debt to cover simultaneous obligations.
Not consolidating debt or failing to optimize cash flow.

Smart strategies for managing finances during this phase

To thrive in this role as a caregiver, you need structure. With the right plan and support, you can meet your family’s needs today while still preparing for your future.

Reassess priorities and timelines

Begin by creating a roadmap that balances immediate family obligations with long-term goals. These measures ensure resources are allocated effectively while reducing emotional burden.

Set boundaries: Clearly define what financial support you can provide to adult children.
Communicate transparently: Discuss care and expenses with aging parents.
Delegate: Lean on siblings, hire professional caregivers, or enlist help for household responsibilities.

You don’t have to do everything alone. Honest conversations like these can protect your finances and your well-being.

Use financial tools strategically—including BHG Personal Loans

Once you’ve clarified your priorities, take a close look at your current financial picture. Identify areas where your money may not be working as efficiently as it could. Consider consulting a financial professional to help you evaluate where opportunities lie.

For example, lingering debt, especially if spread across multiple accounts, can quickly become costly, and inconsistent cash flow can make it difficult to save for the unexpected. They can help you build a plan that reduces stress, protects liquidity, and strengthens your financial foundation.

A BHG personal loan for debt consolidation can be a practical solution for restructuring existing debt and simplifying finances. Predictable, fixed monthly payments offer the stability you need to plan ahead with confidence.

Benefits include:

Simplified payments: Streamline obligations into a single, manageable monthly payment instead of multiple bills.
Potentially lower interest rates: Affordable ARRs and extended terms¹ can help keep monthly payments low and/or reduce overall costs.
Improved cash flow: Free up funds for essential expenses, healthcare costs, or savings.
Designed for people like you: Most of our borrowers (about 70%) are between the ages of 38 and 58. Our process is built for people juggling multiple priorities at once, and our U.S.-based loan specialists can provide tailored solutions that meet your needs now and in the future.

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^† This is not a guaranteed offer of credit and is subject to credit approval.

A real-life scenario for navigating this season

Imagine you’re managing several high-interest debts while also preparing your home to accommodate an aging parent. Instead of delaying the project or stretching your cash flow even thinner, you consolidate your existing balances with a BHG personal loan to create more monthly breathing room.

A well-structured loan can act as a practical bridge, giving you a single, predictable payment to free up capacity for essential projects. It’s one clear step that helps your family settle into a more stable, supportive routine.

FYI: With loan amounts up to $250,000,¹ industry-leading terms up to 10 years,^1,2 and funding in as few as five days,³a BHG personal loan is ideal for helping you regain control and redirect resources toward long-term goals.

“The process was much quicker than going to a traditional bank. Kiara, our loan specialist, got us what we needed to eliminate high-interest credit card debt. Plus, extra money to buy back my retirement time from my employer, and we were able to take care of some needed home repairs, so we didn't have to use credit cards again. Kiara even worked with my wife to plan out how to pay down the loan faster!”

Reinvest in your future self

Once you’ve enacted a plan to simplify your finances, you can finally focus on the future. The financial breathing room created through debt consolidation opens new opportunities to plan intentionally for what’s next.

That means revisiting your goals—whether that’s increasing retirement contributions, rebuilding an emergency fund, or working with a trusted advisor to strengthen your estate or investment strategy.

You can begin directing funds previously used for high-interest debt toward wealth-building opportunities, healthcare costs, or making property improvements that support your family’s long-term security.

It’s important to remember that reinvesting in yourself doesn’t mean neglecting those you love. With careful planning—and the right financial partners—you can care for others while continuing to build the life and future you’ve worked hard for. Finding that balance is possible when you have professionals guiding you through each decision.

How to future-proof your finances beyond the sandwich years

Caring for multiple generations is a meaningful season of life, but it’s not the only one you’ll experience. As your needs and responsibilities evolve, your financial strategy should evolve with them. This is an ideal moment to strengthen your foundation and use your hard-earned financial wisdom to make proactive, confident choices.

Review your insurance coverage, retirement accounts, and liquidity position with your financial planner. Remember that the goal isn’t just to catch up—it’s to create financial agility that allows you to pursue new ventures or step into the next chapter with confidence.

Here are a few key decisions to consider when preparing for the next stage of your life:

Build a buffer for unexpected caregiving expenses or your own healthcare by assessing insurance coverage for health, life, and property.
Explore wealth management options that align with your long-term goals for you and your children. Diversify investments to balance growth and risk.
Brainstorm ways to maintain liquidity to handle sudden medical expenses or adult children’s needs. For example, you might keep strategic debt for leverage when advantageous, rather than letting financial obligations dictate choices.

Flexibility is freedom. It ensures that when the time comes, you’ll be ready for what comes next instead of catching up from behind.

Empowering the sandwich generation

Supporting two generations doesn’t have to come at the expense of your own goals and financial wellbeing. With thoughtful planning, smart debt management, and financial solutions like BHG personal loans, you can simplify obligations, free up cash flow, and reclaim balance.

BHG is here to help professionals like you regain financial clarity and confidence—one thoughtful step at a time. Explore BHG’s personal loan options for debt consolidation and financial flexibility. There’s no impact on your credit to see your loan offers.⁴

Check your rate

See your offer^† real fast

Just a few easy steps to get prequalified!

CHECK MY RATE

^† This is not a guaranteed offer of credit and is subject to credit approval.

Not all solutions, loan amounts, rates or terms are available in all states.

¹ Terms subject to credit approval upon completion of an application. Loan sizes, interest rates, and loan terms vary based on the applicant's credit profile. 

² Personal Loan Repayment Example: A $59,755 personal loan with a 7-year term and an APR of 17.2% would require 84 monthly payments of $1,228. 

³ This is not a guaranteed offer of credit and is subject to credit approval. 

⁴ There is no impact on your credit for applying. For personal loans, a complete credit history, which will appear as an inquiry on your credit report, will be performed upon acceptance and funding of the loan and may impact your credit. 

Testimonial(s) based on unique customer experience. Individual customer experiences may vary.

No application fees, commitment, or impact on personal credit to estimate your payment.

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For California Residents: BHG Financial loans made or arranged pursuant to a California Financing Law license - Number 603G493.