Millions of people in America are struggling with the question of whether their senior parents are able to afford long-term care. Financial issues can be a sensitive topic, and when it’s time to begin planning for long-term care needs, holding an honest and open discussion about how your parents will cover the cost for senior care services is important.
To that end, our Austin home care team has gathered together the following questions to help you get started:
- What are your parents’ assets? A good place to start is to identify approximately how much money your parents have available in cash, investments, and Social Security. This supplies a foundation for covering for long term care charges.
- Do your parents anticipate a need for financial assistance? People are living longer than ever before, which means more people are outliving the funds they’ve set aside for their retirement years. Ask your parents if they have adequate funds to sustain their needs for the rest of their lives. If not, how much support will be needed?
- Do your parents have insurance? Find out if your parents possess a long-term care insurance policy as well as life insurance, and be sure you have a good understanding of their policies.
- Can you access their passwords and account numbers? Ask for account and password details, and preserve a copy of this information, together with contact information for your parents’ financial adviser and attorney. This will make it a simpler process to sort out affairs when the need occurs.
- Have your parents designated a power of attorney? Suggest to your parents that they select and finalize paperwork for a power of attorney so they are assured that there is a responsible, trustworthy person to make decisions in their place in the instance of a medical emergency.
Planning ahead for long-term care is vital, and best done while your parents are independent and thriving. Understanding their finances now will help you be better prepared for their future care.
At CareFor, we know that conversations about senior care and finances can be uncomfortable, and we’re always on hand to help. Contact our Austin, TX home care experts at (512) 338-4533 to learn more, and visit our Service Area page to see all of the areas we serve.