Page 46 - Kiplinger's Personal Finance - November 2018

AHEAD Commentary

MILLENNIAL MONEY Kaitlin Pitsker
Talk to Your Parents About Caregiving

ven if your parents are active and what they expect of you as they age. to cover at least some of these ex-
healthy, there comes a time when Start with their retirement goals and penses? Or do they plan to rely on
Eyou realize they may need a little finances—when they hope to retire other sources, such as savings or the
help as they age. (or cut back on work) and where they sale of their home, to cover the costs?
While I’m hopeful that my parents, want to live. There’s no need for them Find out whether they expect to live
who are in their early sixties and in to divulge every detail of their fi- near you or one of your siblings—per-
good health, won’t need much assis- nances and plans. Instead, aim to get a haps they would move to a retirement
tance from me for another 10 or 15 sense of both their financial and phys- community in your city. Or they may
years, I’ve already started asking ical health, says Jeremy Torgerson, be counting on you to visit frequently,
about their retirement plans and what founder of nVest Advisors, in Brighton, or even hope to move in with you.
they’ll expect of me in the years to Colo. Also ask your parents what their To avoid legal and financial prob-
come. Growing up, I saw my mother expectations are for later in retire- lems if an illness or accident occurs,
and her siblings care for my grand- ment, when they may need help on a ask your parents where they keep
mother for decades, which was both daily or weekly basis—who they hope estate-planning documents, including
rewarding and challenging. And as an will provide that assistance and how a will and powers of attorney for fi-
only child, I can’t help but think how they’ll pay for it. nances and health care.
much harder those tasks could be The cost of paid long-term care adds Such topics aren’t easy to discuss,
without siblings to consult with and up quickly. Medicare typically won’t and families often need to start small,
share responsibilities. cover home health care, adult day care says Carol Craigie, a certified financial
An estimated 10 million millennials or nursing homes. The median planner in Denver who runs online
are already acting as caregivers for a cost of a home health aide na- classes for adult children and their
parent, in-law, grandparent or other parents. Talk about general con-
adult, according to a recent report by cerns at first and get more spe-
AARP’s Public Policy Institute. In I PLAN TO ASK MY cific over time.
time, more of us will step into this As for my family, we have
role. “Economic factors, including the PARENTS WHAT ROLE penciled in a time to chat
student loan crisis, stagnant wages THEY’RE HOPING during my visit with them
and the rising cost of elder care, are I’LL PLAY AS THEY next month. We’ll pour
combining in a dangerous way that GET OLDER. some wine and talk about
makes caring for aging parents differ- their recent trips to po-
ent for millennials than it was for tential retirement desti-
previous generations,” says Grace nations. I also plan to
Whiting, president of the National tionwide is $22 ask how their retire-
Caregiving Alliance. The AARP report per hour, or al- ment savings are shap-
found that millennial caregivers spend most $46,000 ing up and what role
an average of 21 hours a week caring a year for 40 they’re hoping I’ll
for older adults, and those with out- hours a week, play as they get older.
of-pocket caregiving expenses spend and a private With any luck, there
nearly $7,000 a year on caregiving- room at a nurs- will be good news, a
related transportation, home modifi- ing home aver- few laughs and a gen-
cations, legal fees and medical costs, ages $267 a eral agreement about
which can put a significant strain on day, according plans that I hope we
your career and financial goals. to Genworth Fi- won’t need to use any-
nancial. Do your time soon. ■ POON WATCHARA-AMPHAIWAN
Have the talk. Even if your parents are parents have a
still relatively young, it isn’t too early long-term-care TO SHARE THIS COLUMN, PLEASE GO TO
KIPLINGER.COM/LINKS/MILLENNIALS.
YOU CAN CONTACT THE AUTHOR AT
to ask them what they might need and insurance policy KPITSKER@KIPLINGER.COM.
22 KIPLINGER’S PERSONAL FINANCE 11/2018

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