As your parents’ age, it’s important to look out for their best interests in a senior living center. This is true even if you’re not involved in the decision-making process for placement, as you may be called upon at some point to provide financial or other assistance on their behalf. Even if your parent is not living with you now and will never return to do so again, this article will help prepare you financially so that you can assist them if needed—and protect yourself from fraud by others.
Create A Care Plan Now To Avoid Probate Later
The first step in planning for your parents’ future is to create a care plan now. A care plan is an outline of what should happen if your parent cannot make decisions on their own, such as who will be appointed as the legal guardian and what medical treatments they would want in the event of an emergency. The best way to ensure that these wishes are carried out is by putting them in writing and giving copies of this document to family members involved in making decisions about your loved one’s health or finances.
It’s also important not only to create a care plan but also to update it regularly-as circumstances change, and so do preferences and needs!
Review Asset Ownership Together
Reviewing your parents’ assets together is a good way to ensure that there are no surprises and that everyone is on the same page. You’ll also want to look at their financial situation, including any debts or other issues that may need attention.
In addition to helping them clear up any confusion about who owns what, this process can also be an opportunity for you and your parents (and siblings) to talk about how they want their money managed once they’ve moved out of their home. If you still need to do so, now’s the time: get together with everyone involved in making these decisions and start hashing out some options together.
Do A Financial Review
Understanding where they stand financially is important so you can help them make decisions in their best interests.
For example, if they have a lot of debt and no savings, it may be wise to sell their home and downsize into something less expensive or rent out rooms. If they’re on a fixed income and don’t qualify for Medicaid benefits (which can help pay for long-term care), consider finding a senior-friendly independent living community that offers payment plans based on income levels so they don’t have to sell everything right away or even at all!
Get A Medical And Financial Power Of Attorney
A medical power of attorney is a document that permits you to designate somebody to make health care decisions for you if you’re unable to do so. This person can be your spouse, partner, family member, or friend. A financial power of attorney grants the person named in it the right to handle your finances if necessary.
The most important thing when considering these documents is making sure they’re signed and witnessed by two other people who have no interest in what’s being a decided-for example, friends or neighbors who aren’t beneficiaries on any accounts.
Conclusion
In summary, protecting your parents’ assets as they age and you care for them is important. This can be daunting, but the tips we discussed above will help you get started on the right foot.
