» 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!



  • Four practical tips for avoiding family inheritance disputes
    Disputes involving inheritance have the potential to tear families apart. Fortunately, proper planning can help reduce the risk of disagreements among loved ones and ensure they will be provided for when you are no longer around. Set up an estate plan as soon as possible. Old age and illness can make it difficult to communicate […]
  • Clean Hands, Save Lives, and Avoid Misery
    It's flu season again. All of our staff members want to do what's best for our clients. That includes, we decided, making sure that we, as an office community, make good hand hygiene a habit. At our last staff meeting, I gave a presentation on how to avoid getting the flu, respiratory, and GI illnesses […]
  • Be a “Patient Advocate” for Hospitalized Loved Ones
    Hospitals can be unsafe places. Mistakes happen. Sleep can border on the impossible. Hospital based infections happen far too often. To combat all of this and to enhance and protect the well-being of a loved one who is hospitalized for any reason, family members and individuals named as agents in Advance Directives must become protective […]
  • Safety tips to prepare the home for comfortable aging
    Many elderly people wish to age in the comfort of their own home. According to the Administration on Aging’s 2016 Profile of Older Americans, over 13.6 million seniors live alone. However, what happens when the home’s once-familiar areas become hazardous? Will the house be able to handle one’s daily needs? It is important to consider […]
  • Gilfix & La Poll invites you to join the Walk to End Alzheimer’s on October 14
    Alzheimer’s is becoming an increasingly common cause of death for the aging population in the United States. Over 5 million individuals are currently living with the disease, and it is expected to affect 16 million Americans by 2050. Recognizing the devastation that Alzheimer’s causes on a daily basis, Gilfix & La Poll Associates has decided […]

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



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

* indicates required