fbpx

How to Care for Aging Parents

AgingDealing with aging parents is not only tough emotionally, but financially. A Caring.com report found that nearly half of family caregivers spend more than $5,000 a year on caregiving, and 30 percent spend more than $10,000. Your parents may need help. Are you ready?

A recent Newsday article, titled"Money Fix: The cost of caregiving," tackled this tough issue and offered some financial and non-financial advice to help with providing care for aging parents.  Here are the pointers Newsday recommends implementing:

Communicate. Speak with your parents. You may need to ask some hard questions: Do they have a strategy in place to pay for long-term care expenses? The answer could be as easy as purchasing long-term care insurance or devising a Medicaid plan.

Create a strategy. A PNC Financial Services Group survey found that 30% of pre-retirees who plan to care for a parent or another loved one will work longer to afford such care.

Build a cash reserve. The original article says that experts really do not recommend using your retirement funds to pay for this care. However, if needed, Roth IRA contributions can be withdrawn tax and penalty free.

"Unearth all possibilities." That is the descriptive phrase the original article uses for the type of creativity and imagination one should have when thinking about the budgeting and affording the added expense of a loved one's care. For example, if your father passed away and was in the military—even if it was a long time ago—your mom might have a claim to some veteran's benefits.

Another key point is that if your parent or loved one needs to be placed in a nursing home, Medicaid will "look back" five years for any gift made in an attempt to reduce assets to become Medicaid eligible. Gifts of that sort, the original article cautions, can trigger a waiting period before Medicaid would pay for nursing home care.

We are talking about a lot of money—$5K to over $10K a year to provide care for your parent or parents. Start to think about this sooner rather than later. Talk to your siblings and work with an experienced elder law attorney to make the right moves and to develop a strategy for this possibility.

You can learn more about this topic as well as other strategies on our website under the tab entitled: elder law planning in Virginia. Be sure you also sign up for our complimentary e-newsletter so that you may be informed of all the latest issues that could affect you, your loved ones and your estate planning

Reference: Newsday (October 5, 2014) "Money Fix: The cost of caregiving"

 

Like this article?

Share on facebook
Share on Facebook
Share on twitter
Share on Twitter
Share on linkedin
Share on Linkdin
Share on pinterest
Share on Pinterest

Leave a comment

LIKE THIS POST?

We have a LOT more where that came from!

We hate spam too. We will never share or sell your information.

Call Now ButtonCall Us Now https://jsfiddle.net/7h5246b8/

Request a free consultation

We hate spam too. We will never share or sell your information.

We've been putting together as many resources as possible so that we can continue to help:

  • If you’re a current client with a signing appointment or a prospective client with a consultation and would prefer that meeting take place in your own home, we can accomplish that with a little bit of pre-planning on our part and with the addition of a laptop, smartphone, tablet or other computer in your home to facilitate this virtual meeting. For those of you that need to sign legal documents, that too can be accomplished with the use of a webcam (FaceTime etc.), so that we can witness and electronically notarize all of your important legal documents.
  • We launched the rollout of our on-demand webinar early so that new clients and our allied professionals can view the important component parts of ‘an estate plan that works’ at their convenience.  That is available on our website.
  • Live video workshops will be produced as quickly as possible and certainly ahead of our previous schedule; we will keep you posted as these events become available. Given the ‘boutique’ nature of the firm, we rarely have more than ten people in our office including team members at any one time. During this period of ‘social distancing,’ we promise to have no more than 8 people at any time.   This allows us to comply with the Governor’s directive to limit in-person gatherings.
  • The best way to communicate with us is still by phone during regular office hours of 8:30 to 5:00, Monday through Friday, or, you can email any of our team members (that is, their first name followed by @zarembalaw.com).  We will respond to these emails as quickly as possible.
  • Please continue to follow the directives of our local, state, and federal agencies. For your health and in consideration of our team who is assisting you, if you’ve scheduled an office appointment or planned to drop off paperwork and are experiencing a fever, dry cough, or shortness of breath, please contact your primary care doctor for guidance and then our office to reschedule.

Thank you, Walt and the Zaremba Team

Coronavirus/Covid-19
Update to our Process

The unprecedented coronavirus pandemic has taken our entire country by surprise. We understand how difficult this time is for America’s businesses and families.  However, we believe it is vitally important that we make every effort possible to continue to offer solutions that avoid disrupting our important partnership with you, your family and friends.  As you know, estate planning is not something that should wait for a more convenient time, therefore the opportunity to address your important goals both during and after this crisis should not wait.  To that end, we have added the option of a ‘virtual consultation’ to our office process.  You will now have a choice of either meeting with us in our office or in the comfort of your own home.