How to Manage Your Elderly Loved One’s Finances

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Most elderly people live on fixed incomes, so they have to be a little cautious about how they manage their money. Facing financial concerns can be stressful, so it might be a good idea for you to step in and assist your aging loved one. Use the following tips to help your parent better manage his or her finances.

Organize Financial Information

The first step you need to take is gathering all the information you can about your parent’s finances. Look for bank accounts, investment portfolios, loans, and credit cards your parent has. Making this information easy to access will ensure your loved one does not forget to pay important bills or use helpful funds. Organizing financial information may be particularly challenging if your parent has dementia and no longer remembers where all of the relevant files are located.

Caring for a senior loved one can be challenging for families who don’t have expertise or professional training in home care, but this challenge doesn’t have to be faced alone. Family caregivers can turn to Phoenix Home Care Assistance for the help they need. We provide high-quality live-in and respite care as well as comprehensive Alzheimer’s, dementia, stroke, and Parkinson’s care.

Carefully View Credit Card Statements

Seniors may be at risk for credit card debt due to purchasing items over the internet or phone. Many caregivers find charges for subscriptions and unnecessary items when they check out their parent’s bank statements. Observing your parent’s spending habits may give you an idea of how to help him or her save money.

Make a Monthly Budget

Once you have a good grasp on your parent’s general financial situation, create a budget to ensure all of his or her needs are met. Try to plan for all necessities such as utilities, prescriptions, food, toiletries, and housing costs each month, and leave a little extra for discretionary spending on entertainment. 

Discuss Power of Attorney Options

Managing your parent’s finances could be difficult if you are not legally empowered to access accounts or speak to others on his or her behalf. It might be a good idea to talk to your parent about authorizing you with financial power of attorney, which will let you get the authority needed to make payments, open or close accounts, and access past records if necessary.

Consider hiring a professional caregiver if you need a break from your caregiving duties to sort out your loved one’s financial documents. Whether your elderly loved one needs part-time assistance with basic household chores or you need a break from your caregiving duties, the Phoenix respite care experts at Home Care Assistance are here to help. All of our respite care services are backed with a 100% satisfaction guarantee, there are no hidden fees in our contracts, and we never ask our clients to sign long-term contracts.

Get Professional Assistance

In some cases, seniors can be stubborn about accepting care from their children. If your parent cannot see you as a wise and responsible adult, it might be a good idea to bring in a financial expert. An elder law attorney or financial planner can help your parent organize his or her finances and set up a budget he or she can stick to. Hiring an expert can be useful because professionals often have a lot of expertise and can offer advice about investments and estate planning.

By maintaining financial security, older adults can enjoy a higher quality of life. Seniors who want to remain healthy as they age can benefit in a variety of ways when they receive professional senior home care. Phoenix, AZ, Home Care Assistance is here to help your loved one accomplish daily tasks, prevent illness, and focus on living a healthier and more fulfilling life. To create a comprehensive in-home care plan for your elderly loved one, give us a call at 602.388.1085 today.