What do your adult kids know about your personal finances?

Retirees, perhaps it's time to have "the talk" with your kids. No, we don't mean the one you had maybe 40+ years ago, involving bodily fluids or illicit substances.

We're talking about money. Your money.

You may think your adult kids already know a lot about your finances, but a recent survey by the not-for-profit Employee Benefit Research Institute shows that may not be true. While more than half (54 percent) of retirees said they'd had discussions with their adult children about their income and expenses, less than half (47 percent) of adult children recall having had such discussions with their parents.

Less than half (42 percent) of adult children said they knew their retired parents' income. Yet 63 percent of retirees thought their kids knew that information.

There's a good reason to provide your kids with at least basic information related to financial, medical, and legal issues, says Rosanne Roge', managing director of R.W. Roge', a wealth-management firm in Bohemia, N.Y. That way, they won't be blindsided during an emergency. 

Older clients, perhaps recognizing their growing need for their kids' help, are more willing to share financial information with their kids, Roge' observes. Younger retirees typically don't feel the need to share the dollar details. "The kids are informed on a need-to-know basis," she says.

There can be risks to sharing information with children who you fear might take advantage of you later. Read Consumer Reports Money Adviser's article on financial elder abuse for advice on how to minimize that possibility.—Tobie Stanger