How to Handle the Costs of Taking Care of Aging Parents
People who are taking care of their aging parents are often shocked by the costs of elder care. According to a recent study, the cost of long-term elder care services rose at a rate almost three times higher than the inflation rate last year.
The average price of a semi-private room in a nursing home is $7,148 per month, and the average price of a private room is $8,121 per month. If the parents are not eligible for Medicaid, their children may have to bear a large share of the burden of the costs.
What should the children of aging parents do?
The best thing you can do is start planning for the financial needs of your parents for elder care before the needs arise. The more time you have to plan, the better prepared you will be.
What Are Your Family’s Resources?
You, your siblings, and your parents may find it useful to have a meeting where you take a close look at the family’s resources. Your parents may have income in the future from various sources, including retirement plans, investments, social security, or from selling assets, such as their house. Siblings may not all be able to contribute equally to your parents’ future financial needs, but you can start discussing that now, and also talk about alternate ways that siblings with less money can help.
Will Your Parents Be Eligible for Medicaid?
Medicaid may help pay for nursing home care or for assisted living, but only for people whose income and assets are under a certain level, which varies by state. If your parents do not qualify because their assets are over the limit, they might be able to become eligible by shifting their assets using sophisticated financial tools, such as trusts. You should talk to an elder law attorney or a financial planner if this option interests you. As with all financial planning for elder care, the sooner you do this, the better.
Long-Term Care Policies
An excellent option is for your parents to purchase a long-term care insurance policy. The younger they are when they buy the policy, the lower the costs will be.
When You Need an Elder Abuse Attorney
Even with the best planning, sometimes the unexpected happens. If you ever suspect that an elderly loved one is being abused, contact an elder abuse attorney at the Law Firm of Garcia, Artigliere & Medby. Call (800) 328-2630 for a free consultation.