Is Your Family Member In Need Of Assisted Living? Here’s How It Can Affect Their Estate Plan

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Is Your Family Member In Need Of Assisted Living? Here’s How It Can Affect Their Estate Plan

Helping aging parents, aunts, uncles, or other loved ones navigate changing care needs can be challenging. If your loved one reaches a point where he or she is no longer safe at home or cannot receive the type of care he or she needs there, you may need to make the difficult decision to move them to an assisted living, skilled nursing home, or other care center setting.

how to create your estate plan if you have assisted livingConsider the following before you move your loved one, as they can greatly help you manage their affairs, no matter what the future brings.

  • Create an advance health care directive. An advance health care directive allows a trusted family member or friend to make health care decisions and carry out their loved one’s wishes. While people of any age should have an advance health care directive, it is especially important to have when transitioning to a care center setting.
  • Sign a durable power of attorney. A durable power of attorney gives someone else authority to make financial decisions and help an aging loved one handle banking, investments, insurance, real estate, and other transactions during periods of lifetime incapacity. It is important to ensure powers of attorney are drafted in a way that protects the senior but also allows a trusted loved one to make transfers that would allow their aging loved one to maximize benefits – especially if there is a concern about estate tax liability or about qualifying for Medicaid.
  • Review beneficiary designations and asset titling. Being proactive about ensuring assets are titled in a way that makes sense given the change in circumstances and that beneficiary designations accurately reflect your aging loved one’s wishes can make the process of settling his or her estate smoother and faster when the time comes.
  • Participate in a financial asset and liability review. A review of your loved one’s financial and estate plan with his or her financial and legal professionals can provide both of you with peace of mind.

For more tips about proactive estate planning for aging parents and other loved ones, contact The Estate Planning & Legacy Law Center today.