It’s a parent’s dream to be able to watch their children grow and take up the responsibilities of the world around them. As this happens however it is important to understand the hardship parents must all go through with the effects of aging. As our parents get older, it is important that they are secured both financially and emotionally. There are five critical steps to better ensure success in the lives of your parents.
Five Steps to Helping an Aging Parent with Finances
First, we must respect the abilities that older adults possess. Many older adults still have the critical thinking skills necessary to sustain their financial needs. In cases like this small steps can be taken to ensure their bills are paid, and that they don’t make any wildy unnecessary purchases. In the case of your older adult having dementia or some sort of impairment, additional action may need to be taken to ensure their wellbeing.
Second, their important documents should be accounted for. These may become essential in the case of an emergency. They also better allow you to take care of their personal assets when they cannot. If they are hesitant to provide these documents, reassure them that they will only be used in an emergency.
Third, as a caretaker of an older adult it may be necessary you have access to their financial accounts. This typically requires some advanced planning and specific paperwork. Even if one has power of attorney, banks may still require a process before you can help out. An older adult can authorize others to have access to their financial accounts and safe deposit boxes in numerous ways. To avoid unintended consequences when it comes to having access to the accounts of others it is crucial that one is to contact a qualified elder law attorney for advice.
Fourth, one should keep the family updated on anything done on their behalf. This can help to avoid conflicts later. Also, this will prevent any accusations of reckless spending by whoever has joint access to the accounts of who they are caring for. This can be accomplished by having family meetings to keep everyone up to date on any spending done. It also would help to keep records of discussions, and major decisions to avoid any disputes in the future.
Fifth, If your parent or older adult does not have a complete and sensible estate plan in place, an elder law attorney would put them on the right track. This will be important later as this will affect how their assets are distributed when they pass away and can keep time and financial costs at a minimum.