Am i an awful person?
To get one thing out of the way: as you describe it you are not an awful person. You are in an awful situation. I think the best thing would be to demand the other family to: A. move out B. Get a job and become self supporting. C. You stop providing for them, they’ll learn the consequences soon enough. People are lazy by nature, and when you give them the chance they won’t work. Until you force them (by stopping paying) to do something, they’ll set around doing nothing.
