Setting Up Your Parents for a Happy Retirement
The average American retires with $206,000 in retirement savings, which seems like quite a lot. But if you look at the median retirement savings, it is only $28,000 and gives a more accurate picture of the state of most retired Americans’ financial situations. If your parents are in a poor financial state for retirement, like many Americans, here are a few ways to help them.
1. Look for Signs of Financial Anxiety.
If you see your parent worrying about bills or expenses, talk to them about it. It is helpful to have a listening ear to bear some of the stress over finances.
2. Start the Conversation
There’s no way of knowing your parents’ financial state unless you talk to them. No one wants to have these difficult conversations, but you may be able to help them plan and be prepared for the future if you are willing to talk about it.
3. Understand the Whole Financial Picture of Your Parents
Helping an elderly family member financially doesn’t always mean paying all of their bills at once. There may be things that are putting too much stress on their finances that you can help them with. For example, maybe your parents buy a lot of take-out food because they find it hard to cook. Maybe their prescription drug costs have gone up because they don’t know about generic alternatives. Maybe they can’t keep the house in order because it’s too big for them. Identifying these problems can help alleviate some stress.
4. Reassess the Situation Often
Every six months, you should reassess your parents’ situation. Is there living situation still working for them? Are they staying on top of bills? These are questions that may lead you to changes that need to be made.
5. Assess Your Own Financial Situation
Take into account all of your expenses and savings so that you can see if you are able to help your parents. If you are able to help your parents financially, this could take the stress off of them and you.
If you are in need of assistance with your senior parents, contact us today. Our team will be happy to assist you in any way we can.