Diane Carbo: Welcome to caregiver relief, discussing financial matters. Tell us how we can approach financial matters.
Diane Carbo: Discussing financial matters is probably one of the most difficult Poppins that your loved ones that you will. This is one of the most difficult topics that your loved ones are. This is one topic that most loved ones are very private about and some families or spouses did not even discuss finances between themselves.
Diane Carbo: And this can be one of the most difficult subjects to approach with your family member. The financial matters of your family matters loved one. The financial matters of your loved one or a very crucial issue that need to be addressed. Do not be surprised when the. Is addressed and you are met with a lot of resistance.
Diane Carbo: You may be treated as an intruder of the worst kind. It is important not to pursue this subject with your family member. If it means putting your relationship in jeopardy, remember you must build trust with every conversation. In anticipation of a negative response, you must approach this subject with a caring and sincere concern.
Diane Carbo: This is a subject that may take multiple approaches and discussions. The goal of discussing financial matters is to have a clear understanding of the financial resources available at the present time. The long range goal is to have a sense of financial resources available for the future. Understanding your loved one’s potential fears will assist you on how to approach them fears and concerns of your aging loved one on financial right matters,
Diane Carbo: understand that they feel that they’re losing control over their lives. They continue to even safe in the future. They always have done the finances themselves and want to continue to do they mistrust anyone to deal with their money. They have fear of financial loss and they do not want anyone to know their business.
Diane Carbo: What are signs that our family member needs help with financial matter signs that your loved one needs assistance with natural matters include. They begin to hoard money, even change. Around the house bills are on open and mail is piling up. They, you may start gambling or have increased in amounts that they gamble.
Diane Carbo: There are lots of new products or packages sent to the house bought from TV or online, or they scrimping on food or medications. Have they stopped their social activity such as going out to dinner or to a movie? Are there overdue notices in the mail? Are utilities being cut off or interrupted for nonpayment is the credit card balance increasing or staying the same?
Diane Carbo: Are they complaining that they do not have enough money?
Diane Carbo: What steps can we take to open the discussion on financial matters? There are several approaches that you may consider taking. Suggestions are like, let’s do this in case you’re not able to write your own bills or I can totally take over that responsibility so that you don’t have to worry about it anymore.
Diane Carbo: Or as we plan in advance and get organized, this will make it easier to make important decisions when, and if the time comes. Another approach is this will give us an opportunity to see what your options are for care in the future, and then be able to make educated decisions based on your financial picture.
Diane Carbo: Or, Hey, you want to travel this way? Your bills get paid. The mail gets picked up without any worry on your part as you insisted. As you assist them in organizing their documents, ask your loved ones, permission to review their bank accounts, investing information, mortgages, insurance policies, et cetera. It is important to remember.
Diane Carbo: This is not a time to make judgements on their financial situation, or even to make recommendations on what you think that they should be doing. These records. These recommendations can create animosity and close the door to any future conversations. Be prepared that if your loved one is difficult or not open to any help at all, you just may have to postpone learning about their finances.
Diane Carbo: This is truly a difficult situation to accept, but your loved one unless being mentally incompetent is an adult and is still in control of their lives. Unless your loved one is in harm’s way due to their finances. You may have to delay your involvement until a crisis occurs. It is important that you do it is important that you do not give up on obtaining the information.
Diane Carbo: It is important that you do not give up on and obtaining the information to assist your family member. Just do not alienate yourself over this subject.
Diane Carbo: What are the next steps? Taking the first steps into investigating the financial matters, it starts with reviewing daily expenses, annual expenses and income. This can be a simple process list, the money coming in and the money going out. This should be reviewed and reevaluate. Every six months.
Diane Carbo: Here’s some questions to consider as you’re going through the process is the present financial situation stable. Is there any change in the mental or physical health of your family member that requires assistance or outside help? Has there been a change in the financial market that requires investigating or other investment strategies?
Diane Carbo: Will the present financial strategy reach the goal for the future care needs? The presence financial situation cover the cost of care needed now. And in the future, it’s time to develop a budget. You can develop a simple budget, develop an expense file for receipts and bills paid. If this is something you do not feel comfortable doing, or your parents are adamant about family members not being involved.
Diane Carbo: There are outside resources that can assist you with this. There’s the American association of daily money managers that their website is www.hadmm.com. Their number numbers, 1-877-326-FIVE 9 9 1. The national association of personal insurance advisors, that website is www N a P F a.org. And their telephone number is one eight, eight, eight.
Diane Carbo: 3 3, 3, 6, 6, 5, 9, and a R P has a foundation money management program. And that website is www a R P M p.org. Some loved ones. May have a CPA or a financial planner that you be consulted. Some have an elder care law. It’s Harney already for handling their finances. And then the next step is trying to calculate their net worth.
Diane Carbo: And this can be difficult for men. And it may take having a professional help you with these, but to calculate their net worth. This is the difference between all the assets and all the liabilities. And this is important to know, to prepare for future resources for future care needs. This may also be an area that may need assist in improvement.
Diane Carbo: The present financial situation to calculate net worth you list all bank accounts, all stocks, all CDs, mutual funds, bonds, the fair market value of the house and other property owned. This could also include items of value in the safety deposit box. In the safety deposit box and assessed valuables, collectibles, specialty items, antiques and paintings result from this may or may not be positive.
Diane Carbo: If this financial situation looks bleak, there are alternatives to change the situation around
Diane Carbo: what are the next step. The next steps are to determine your financial goals. It’s important to set short-term and long-term financial goals, tax planning, estate planning, and it’s time to investigate solutions to obtain these goals, solutions that you may want to explore. Are things like long-term care insurance, reverse mortgages veterans’ benefits, definitely investigate your states, Medicare spending down policy and the look back period for that spending down social security, check out the life insurance policies, the Medicare available.
Diane Carbo: The Medicaid eligibility requirements for your state and the Medicare and the Medicaid waiver program to main care, maintain care at home. Review all insurance coverage, home-care health and medical auto insurance life insurance evaluate each policy for over and under coverage for Medicare coverage.
Diane Carbo: Explore the need to purchase supplemental coverage and prescription coverage. If your loved one qualifies for Medicaid, you don’t need to require a supplement. To summarize taking over your loved one’s finances is a very emotional time. As a caregiver, you may be sensitive. As a caregiver, you must be sensitive to the needs of your loved one.
Diane Carbo: Be sensitive to this issue and approach it with the utmost respect, trusting you to take over the financial matters is giving up a part of their independence and control. It is important to allow your loved one to do what they. Can to continue. It is important to allow your loved ones to do what they can continue to do for as long as they can, if they are able to write checks or make deposits, allow them to continue to do those tasks for as long as possible, put a system in place so that you will be able to identify miss payments or deposits, take over any new tasks gently and with respect.
Diane Carbo: Try to get your loved ones who do agree to direct deposit and automatic bill payments to decrease your own involvement is important to make sure the bills are getting paid. The checks are getting deposited. You can make bill Payne easier and you have left the financial control to your loved one. Take over.
Diane Carbo: The task with the finances only when your loved one asks you to do or it is in their best interest that you do. So the next lesson I’m going to discuss is future living arrangements.
Diane Carbo: Thank you for this valuable information.