Managing Financial Wellness for Seniors
Financial wellness is not just something you need to focus on in your younger years. Close to 30 per-cent of Canadians will be 65 years of age or older by the end of 2021. As this percentage increases it is up to us as children, and even grandchildren, to safeguard and help them navigate their finances.
As a person ages, they become more vulnerable, and it can be easy for them to lose sight of how to manage their money. This can lead to them being taken advantage of when it comes to their finances. Some aging adults may have also experienced the loss of a spouse who was responsible for their finances and now feels overwhelmed by the thought of managing money. If situations such as this go unnoticed it can be incredibly stressful and even costly.
To ease some of the stress aging adults and their caregivers feel, our experts at Lennox Financial have compiled a few tips to help you ensure the seniors in your life are protected from vulnerabilities when it comes to their finances.
1. Pick a point person
Dedicate a family member to act as a “go to person”. A point person should be someone the senior feels comfortable around and that will act on their behalf in various situations. This can be taking calls from sales people, setting up or making changes to their accounts, assisting with their investments etc.
Providing them with an easy stress free way to pass off a situation can limit the number of quick decisions they may feel pressured to make, which can be hard to reverse or come with a high price tag.
Understanding their financial situation can help you manage things better going forward.
2. Initiate a regular financial review
Take the time to review their finances together on a monthly or quarterly basis. This can include reviewing bank and credit card statements, bills, investments, etc.
If you are met with some resistance, reassure them that you are only looking to confirm there are no errors and that their money is properly accounted for.
Talking with your loved ones about finances should not be intimidating and can be in their best interest. If you are looking for help on what you can do, connect with the professionals at Lennox Financial or check out some of the financial tools in our library.
3. Put a Will and Power of Attorney in place
Putting these legal documents in place while your loved ones are still able to make decisions on their own makes helping them manage their money (among other things) easier as they age. Ensuring our loved ones feel safe in every aspect of their lives, including their finances, is the goal.
If you have questions about what to do with an elderly loved one’s investments or finances, speaking with a financial expert can put your mind at ease.
It is important that we continue to protect and guide our loved ones through the remainder of their financial journey. They become more vulnerable as they age and can be easily taken advantage of when it comes to their money. It was once their job to set you on your own path to financial wellness, now it is your turn to make sure they continue theirs.
Speak with a professional today about how to set yourself and your loved ones up for total financial wellness.