Imagine this. You’re having lunch with a friend. You describe a movie you saw recently, but no matter how hard you try, you can’t remember the lead actor’s name. Or recently, you should have paid a monthly bill but forgot. Or the word you want to use is on the tip of your tongue, but you can’t get it out. You may be experiencing typical age-related changes. What many not-so-kindly call a senior moment. Whether you experience occasional forgetfulness, have been diagnosed with Alzheimer’s or dementia, or are caring for someone with these medical conditions, planning for change can help protect and maintain finances. Here are ideas to help you cope with cognitive changes. Please note that we’ve directed these ideas toward you, but they also apply if you care for someone with cognitive decline.
Understand your condition.
A decline in memory, judgment, and the ability to understand complex information can make keeping track of and paying bills challenging, let alone paying taxes and managing investments. A visit to a medical provider can help determine your situation, discuss a prognosis, and direct you toward additional resources to help you understand your situation, as well as take steps to get the care and support you may need.
Create a financial support system.
A strong, trusted support network is vital if you can’t make financial decisions on your own. Family members, friends, legal and tax advisors, and caregivers can be crucial in overseeing financial matters. Open discussions about finances should take place early on, ideally before a significant cognitive decline occurs. This proactive approach can help ensure you feel involved and respected in decision-making as long as you are capable. You are fighting time, so the sooner you build your team, the better.
Simplifying financial management.
Keep things simple. Set up automatic bill payments for recurring expenses like utilities and insurance. Creating a visual calendar with due dates and payment reminders can help you stay organized. Additionally, using budgeting apps or tools designed for ease of use can assist in tracking expenses. Many government entities and utility companies allow you to permit them to notify an additional party of your choosing, such as a family member if you miss a payment. This simple act can help prevent utilities from being shut off, foreclosure, and severe late fees and penalties.
Put in safeguards.
Establishing financial safeguards is crucial for protecting yourself from exploitation. This might involve setting up joint bank accounts or designating a trusted individual as a power of attorney for financial matters. By doing this, you can retain control while ensuring that someone you trust is available to help make decisions when needed.
Look out for red flags.
We all must be on the lookout for fraudsters and scammers. Education on known scams for both you and your caregivers is essential. It’s important to recognize the warning signs of financial exploitation, such as unusual withdrawals, changes in spending patterns, or unpaid bills. Keeping an eye on financial activities can help identify potential issues before they escalate.
Check-in regularly.
Regular check-ins are vital for monitoring your financial situation and ensuring everything runs smoothly. These meetings with your team are an opportunity to discuss any concerns, review financial documents, and adjust strategies as necessary. Keeping the lines of communication open can help you feel more secure and supported.
Utilize professional resources.
As mentioned above, in some cases, seeking help from financial professionals who specialize in elder care can be beneficial. Financial advisors can provide tailored advice on managing assets, budgeting, and planning for future expenses. Legal professionals can assist with setting up necessary documents, like power of attorney or trust funds, ensuring your wishes are respected.
Encourage independence.
We all hope to maintain independence as long as possible. But recognizing and accepting the day will come when it may no longer be safe for you to make financial decision is also important. Involving your support team in discussions about financial decisions early makes it easier for them to follow your wishes down the road.
Final thoughts.
Supporting your or someone’s finances who is experiencing cognitive decline, Alzheimer’s, or dementia requires a balance of assistance and respect. By creating a robust support system, simplifying financial tasks, implementing safeguards, and encouraging regular communication, you and your caregivers can help maintain financial well-being and dignity throughout your journey. We are here to support you and your family. If you have any questions or need assistance, please get in touch with us at 800.877.2345, or contact us through Tulee.
P.S. November is Alzheimer’s Awareness Month, a time to heighten awareness about Alzheimer’s disease. Alzheimer’s is a type of brain disease caused by damage to nerve cells in the brain and the most common cause of dementia. According to the Alzheimer’s Association, dementia is not a specific disease, it’s a term that describes a group of symptoms. It’s estimated that more than 6.7 million Americans are living with Alzheimer’s. If you are supporting anyone with Alzheimer’s and need assistance, the Alzheimer’s Association can be a valuable resource for information on legal and financial issues impacting people with Alzheimer’s and those who care for them.
