Are you of the opinion that aging and finances go hand-in-hand? If yes, do you think your family is prepared and has planned for a financial decline in their older age?
Elders often struggle with financial decision-making as they age; they struggle in managing money and many times might end up taking wrong investment plans. Elders are often tricked by their relatives in financial abuse resulting in fraud and monetary losses. Money management in the senior ages is important to have a regulated control over life.
One needs to be cautious of the financial losses and should be warned of the major signs of decline which are- decreased understanding in money management, struggling to complete daily financial tasks, reduced attention in financial details, or improper analysis of identifying financial risks while investing. If you find such signs in your elderly family members, you should read on to get a deeper insight into aging and finances.
Why Does Financial Decline Take a Front Seat In Old Age?
1. Frauds by Strangers and Family
Decline in financial ability and thinking powers in old age is usual and can lead to financial abuse by family, friends, or strangers. In many cases, financial abuse takes a similar path to mental abuse as it can lead an elder to trauma or depression if done by the family members. The NEAIS states that approximately half a million people above 60 years were financially abused or neglected throughout their life. The elders often get tricked to transfer the savings to their children or other members.
2. Increased Risks in Investment Opportunities
As the age increases, the ability to think and analyze the future profits and losses might decrease resulting in increased risks of financial decline. Not able to track the investment plans can often lead to poor decision making further increasing the risk of monetary losses.
3. Reduced Brain Functions
Increased age often leads to various health problems, be it dementia, Alzheimer’s, or cognitive illness. These problems can lead to decreases in brain functions. The main way to boost up the thinking ability is to reduce medications that interfere with such skills. Elders can also opt for nursing care services to keep their mental health stable and active. Don’t let your age be inversely proportional to your ability to think!
Considering these signs and results, it is important to encourage elders to simplify their financial planning by allowing expert planners, trusted family members, or preauthorize lawyers to monitor their accounts and to assist them with investment plans if needed.
How To Help Elders In Managing Finances?
1. Plan for Long-Term Expenses
Having a plan is always better than regretting not having one! Managing and planning life is as important as managing daily expenses. Assisting your parents financially, emotionally, and morally is essential and can be done by moving a parent into an assisted living facility, by availing home care services, or by encouraging them to move in with you.
2. Make a Budget & Cut Costs
Reviewing family expenses can be helpful as it assists in cost-cutting. Help your parents in monitoring and recording their needs and expenses which would help you analyze the family budget. Contribute to their daily expenses, support them in maintaining the budget to increase their savings.
3. Consider Hiring Help
For children living away from their parents, hiring an elder care service provider to assist the elderly parents in their daily activities can be considered as an option to managing the elders’ life by helping them with all amenities. Emoha Elder Care offers home care services to help elders effectively deal with life.
You may call on our toll-free number 1800-123-445555 for financial planning suggestions, or medical assistance, wherever whenever!