Boomers, be aware of financal considerations for your parents’ long term care…

July 31st, 2013 No Comments

Financial considerations for Mom and Dad’s elder care in New Jersey and across the country

As scores of baby boomers are preparing for retirement themselves, they are becoming increasingly responsible for the long-term care of their aging parents. MetLife has done extensive research on the subject of aging, including caregiving. The number of family caregivers has risen dramatically in the past 15 years. MetLife’s Mature Market Institute estimates that in 2011, adult children aged 50 and over, comprised approximately 10 million caregivers of an older parent. The amount increased from 12% to 45% from 1994 to 2009. The care provided was assistance with their parents’ ADLs (Activities of Daily Living), including helping them get dressed, bathe, eating assistance, and other personal care assistance. Caring for a parent can be both emotionally and financially draining.

The MetLife researchers have compiled several financial considerations regarding family caregiving.

  • Quitting your job–don’t do it hastily. It may give you more time to be with your parent, but consider the injury it may cause to your retirement funds. Also consider your future work…will it be difficult to re-enter your field after taking a break?
  • Benefits Loss–consider the benefits your job provides, particularly health disability and life insurance, and whether you would be able to do without them.
  • Prepare a budget for caregiving–take a look at the financial costs in your situation
  • Take advantage of free or low-cost services for your parents. Your local Office on Aging is a great place to start (check our list of Local Resources for agencies and elder care services in Burlington County, NJ and Mercer County, NJ)
  • Increase your knowledge of Medicare and Medicaid
  • Know what it costs to have your parent remain at home
  • Obtain professional assistance–Visiting Angels NJ, for example. Our home care aides can help your parents when you can’t physically be there. This can provide a sense of security for both you and your parents.
  • Be on the lookout for financial scams aimed at older people. Warn your parents about not giving any financial information to anyone they don’t know
  • Prepare legal documents–make sure you discuss with your parents the importance having a power of attorney, living will, and will. Consult an eldercare attorney to assist.
  • Don’t forget your own retirement–your own retirement plans should not be forfeited while caring for your parent

Read the US News and World Report article for more information

<< Back to Blog

Tags: , ,

Comments are closed.