3 Important Financial Questions to Ask Your Parents

Money is always a tricky topic.  But, you won’t know the status of your parents’ finances unless you ask them about it.  After all, an ounce of prevention really is worth a pound of cure. This conversation guide will help you prepare for the conversation and ensure you cover the most important issues.

  1. “Do you have a durable power of attorney?”

 A durable power of attorney (DPOA) is one of the most important legal documents any older adult should have, giving whomever your parent appoints the power to make financial and legal decisions if necessary. With a durable power of attorney and healthcare proxy in place, your parent’s designee can make decisions and access accounts without involving the courts.
  2. “Have you updated your will, insurance and account information recently?”

 It is very common for people to sign the initial paperwork and never take another look a their insurance policies or beneficiary designations, but both should be reviewed annually. Beneficiary designations can be impacted by any change in family circumstance, including the birth of a child, a death or a divorce.
  3. “Where is all this stuff?” 

If your parent has a stroke or heart attack, the last thing you are going to want to worry about is what health insurance he or she has or whether the mortgage has been paid. That’s why it’s important to sit down with your parent before a crisis happens and find out what kind of bill-paying system is in place, what insurance he or she has and where all of the important papers are located. Although some may be hesitant to share this kind of personal information, reassure your loved one that you don’t have to see any of the information now — you just need to know where it is so that you can access them in the event of an emergency.

For more information on caring for a loved one, visit www.liftcaregiving.com.

Katie Gilstrap: Katie Gilstrap is clinical faculty member at Virginia Commonwealth University, teaching at the undergraduate, graduate and executive levels. In addition to her teaching responsibilities, she has founded The Barre Boutique in Richmond, Virginia, writes for various health and medical organizations and designs, leads and secures grant funding for study abroad programs focused on international business in Greece, Spain, Prague and Scotland. Outside of her time at VCU, she leads workshops in the Middle East for the Henry Ford Leadership Academy and serves as a faculty mentor for the European Innovation Academy. No matter where she is around the world, she is dedicated to living her healthiest life!