MORE 20-somethings are living with their parents than two decades ago, a KPMG survey has found.
The group is referred to by economists and social demographers as KIPPERS - Kids In Parents' Pocket, Eroding Retirement Savings.
The ratio of Generation Y Tasmanians reluctant to leave the nest is highest in its Southern suburbs, with 38 per cent of those surveyed in Rosetta and Blackmans Bay still living at home.
Launceston and Hobart have the fewest 20-somethings living at home, with 8 per cent and 4 per cent respectively still living with their parents.
Nationally, Brisbane suburb Brookfield, Melbourne's St Helena, and Sydney's Davidson have more than 80 per cent of this age group still living at home.
In central Melbourne and Sydney, the percentages are between 2 and 3 per cent.
Launceston financial adviser Tony Gray said parents of KIPPERS would be middle-aged or in the later stages of saving for retirement.
He said they may also have younger dependent children, and a mortgage still to pay off.
``With a tougher job climate at present and fewer hours for many casual workers, the income for some Gen Ys is likely lower, so there is an economic reason for more kids to live with their parents longer,'' Mr Gray said.
``There also tends to be an increase in those continuing with further education when jobs are scarce - again with a greater likelihood of living at home while income is low.''
He said the cost of supporting adult children depended on the attitude of the parents.
``The reality is that Gen Ys are in a much better position to save than their parents in many instances if they choose, as most of their spending is discretionary,'' Mr Gray said.
``The parents pick up the tab for many bills that are not discretionary - maintaining the household, rates, insurance, power, phone, food et cetera.''
Former Social Inclusion Commissioner David Adams said Generation Y may be prevented from moving from home due to obligations in caring for relatives.
Professor Adams said the generational group may not wish to rush life choices, staying at home waiting for other opportunities to arise, or saving for a move to the mainland.
He said homes now were typically bigger, offering them more independent space while still living in the family home.