04/25/2018










How Much Will It Cost to Financially Support Your Aging Parents?

 

Family Photo

Caring and supporting aging parents can be rewarding, but it can also be a highly frustrating and exhausting experience. When financially supporting your loved ones, it may be much more expensive than you realize. If your parent has little to no financial safety net, then a child may be the sole provider – making him or her wonder not only how much it will cost, but how he or she will plan for their own retirement when they are financially supporting someone else.

According to a study published by MetLife, 10 million adult children over the age of 50 are currently caring for their aging parents. These individuals not only provide care but financial support as well.

Aging Parents Are Running Out of Funds

The situation of elderly parents running out of financial savings is becoming increasingly common. That is because aging individuals are living longer than expected but are not finding ways to make their money last as long as their health. Also, rising long-term care costs are quickly draining what was considered an adequate savings a decade ago.

How Much Will It Cost?

To determine how much it will cost to support an aging parent, children need to assess the financial future and costs associated with their parents. This can include:

  • Healthcare Costs – How much will it cost for health insurance, copays, prescriptions, or in-home care.
  • Nursing – Will the aging parent need around-the-clock nursing care at a facility or in their own home?
  • Savings – Children will need to find out how much money is left in their parent’s savings and what retirement and Social Security benefits they are receiving each month.
  • Equity and the Home – A discussion will be needed to find out what will happen to the family home and more importantly, if there is any equity that can help support the aging parent.
  • Monthly Expenses – Lastly, calculating the monthly living expenses – from groceries to utility bills to even social events – is important.

Long-Term Care Planning Can Help

For families supporting their aging parents, sometimes the solution is not pooling funds together or even selling off assets; instead, long-term care planning is needed. By meeting with an elder law attorney, families can explore their Medicaid options and create a plan that not only protects their aging parent’s assets, but can help pay for medical expenses, nursing home facilities, and more. The cost of caring for an aging parent can easily equal thousands of dollars each month – especially if that parent is in a private care facility and family members are paying out of pocket.

If you are caring for your elderly parents contact the Law Office of Andrew M. Lamkin to see how we can help you.



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