» Adult Children Caring for Elderly Parents Need Financial Guidance

Adult Children Caring for Elderly Parents Need Financial Guidance

Palo Alto, CA (Law Firm Newswire) March 28, 2013 – Average life expectancies in the U.S. rose in 2011, according to the National Center for Health Statistics.

Women's life expectancy is now 81.1 years, and men's expectancy is 76.3. That is a shift from 1975, when women had a life expectancy of 76.6 years and men had an expectancy of 68.8 years.

While most people are happy to know they will potentially live longer, their savings may not be prepared. Financial experts are concerned that there is a growing cohort of elderly people without enough money to support their needs. What will happen when their savings run out?

"We are seeing more clients who are concerned that their parents will need substantial financial support for some time," commented Palo Alto estate planning attorney Michael Gilfix. "They need to put a structure into place now for when it is needed."

A survey run in September 2012 by Merrill Lynch found that 47 percent of 35 to 50-year-olds admit that they have a high level of concern that they will soon be caring for an elderly parent, up from 32 percent in April 2010.

For individuals who have the funds to do so, "paying up" or transferring wealth to aging parents can be a way to help out. The most common ways to pay up include annual gifts; an annual gift of as much as $14,000 can be given tax-exempt to an individual. A couple can pool resources and make a joint gift of as much as $28,000 to each of their parents. The annual gift can be helpful for elders who need funds but want to retain some independence about where that cash goes.

However, that annual gift may make the parents ineligible for some government benefits, such as Medicaid and Supplemental Security Income. An individual can have no more than $2,000 in assets to qualify for those programs. If someone is gifted with $14,000, they will need to spend $12,000 of it before applying for government aid.

Adults who are concerned that they may be caring for elderly relatives soon, or who are already caring for them, may wish to speak with an elder law or estate planning attorney to explore what structures work best for them.

To learn more, visit Gilfix & La Poll Associates LLP at http://www.gilfix.com/.

Gilfix & La Poll Associates LLP
2300 Geng Rd., Suite 200
Palo Alto, CA 94303
Telephone: (650) 493-8070
http://www.gilfix.com/

Facebook: Like Us!



  • Key differences between nursing homes and assisted living facilities
    Choosing the right type of senior care for yourself or an aging loved one can be a difficult task due to the many options available. Among the best-known types of residential senior care are assisted living centers and nursing homes. Understanding the basic differences between them and whether they fulfill one’s requirements can help the […]
  • Practical tips for choosing an assisted living facility or nursing home
    Last August, the largest assisted living complex in California was sued for poor care of its senior residents. The lawsuit alleged poor worker training, elderly abuse and mistreatment. Residents of the facility claimed they were left unattended, with little access to clean clothing and nutritious food. Unsurprisingly, such findings raise concerns about how loved ones […]
  • How assistive technology can help individuals with disabilities
    People with disabilities can benefit greatly from assistive technology (AT). There are a number of different options available, depending on the individual’s specific needs. Assistive technology can improve accessibility in the home or workplace, and help make daily activities easier. Last year, California State University, Northridge held its annual CSUN Assistive Technology Conference dedicated to […]
  • To the Bay Area community: Thank you.
    Amidst uncertainty surrounding the new Trump Tax Law, several hundred people attended our recent Gilfix & La Poll Associates seminars. It was incredible to see all of the positive energy generated by the crowd. We are grateful for your support and attendance. These were some of our most well-attended events ever – it was clear […]
  • Why the young and healthy should think about advance directives?
    Young people are likely to shy away from making decisions about their future health care, thinking they can put it off until later. The truth is, one can never be too young or too healthy to engage in advance health care planning. Such planning is no longer just about aging or end-of-life care. It addresses […]

See other news sources publishing this article. BETA | Tags: , , , , , ,



Get headlines from Law Firm Newswire sent right to your inbox.

* indicates required