Financial Situation of Kelly and Her Parents - Kelly has managed to save $100,000, which includes an emergency fund of $15,000, a 401(k) with $30,000, and a brokerage account with $55,000 [1] - Kelly's parents are struggling financially, with little retirement savings and high-interest credit card debt [2] - They have requested a loan of $10,000 from Kelly to replace their damaged roof, indicating an urgent need for financial assistance [2] Concerns About Lending Money - Kelly is hesitant to lend money to her parents due to their previous borrowing history, where they have not repaid a $5,000 loan from her brother [3] - Experts suggest that lending to family should be approached with the mindset that repayment may not occur, and the amount lent should be one that the lender is comfortable losing [4] - A survey found that 50.3% of individuals who borrowed from friends or family expressed concern about their ability to repay, and 46.6% reported conflicts arising from such loans [5] Implications of Financial Behavior - Kelly's parents' tendency to prioritize non-essentials, such as vacations, over repaying loans raises red flags about their financial management skills [6] - If Kelly decides to lend a significant portion of her emergency fund, it could leave her vulnerable to unexpected expenses [6]