Last Updated on July 16, 2019
It’s a common fear in this day and age that growing old gracefully will occur with very little funds to grow old with. Numerous worries about Social Security benefits are a real concern, and many seniors simply haven’t been able to tuck away the funds they’ll need for retirement.
If you’re a caregiver or child of aging parents and your parents have no money or have no retirement savings, there are some things you can do to help your parents before it becomes a real problem.
The Honest Conversation When Your Elderly Parents Have No Money
Experts advise that as long as your parents are still cognizant, the best thing to do is to have an honest sit-down talk about helping your parents plan for retirement. Many children report that they simply don’t feel comfortable having this conversation with their parents, particularly when there’s a good chance that the parents have no money for retirement. The best thing for you to do is to push past the awkwardness and have a real conversation about the financial situation of your parent’s retirement. Some key financial questions to ask them include:
- Is their home completely paid off?
- Are there any 401K or savings accounts?
- Is there an updated, legal will?
- How much debt are they in (credit card and otherwise)?
If you are concerned that your elderly parents have no money, these questions are the best way to get a feel for the situation. Depending on their answers, you may want to call in a financial advisor or expert if you feel you can’t provide financial aid for retired parents or the problem is too big for you to handle.
Suggestions When Your Elderly Parents Have No Money
If you’ve had the honest conversation and have come to the conclusion that your parents have no retirement savings, there are a few things you can suggest before you offer financial aid or other types of help. Firstly, you can help your elderly parents become financially responsible. Talk to them about budgeting, if this is something they haven’t been doing, and help them create a usable budget. This includes advising them to make more frugal living choices (perhaps forgetting the vacation this year or not opting for a new set of furniture)—and saving as much as possible.
If your elderly parents have no money and are also deep in debt, they should try to pay the debt off as much as possible. Worst-case scenario ideas also include advising them to delay retirement by a few years, if possible, to save additional funds. Another option for aging parents with no money is to attempt other sources of income, such as a part-time job or even online work. Caring for aging parents is not easy, and you may have to delve more into their financials than you feel comfortable. This is to help them get organized, avoid scams, and not end up as parents with no retirement savings at all.
Offering Aid When Your Parents Have No Retirement Savings
Beyond advice and becoming more involved in your parents’ financials, there are other means to help when it comes to saving for your parents’ retirement. If you are financially able, you can help them save. One of the most responsible things to do if this is your means of help is to open a retirement account for parents—and contribute to it. If you own your own business, you can also offer your elderly parents with no money a part-time position, which can help them save.
If you’re not financially able to help, you can help out in other ways, such as helping your parents around the house or yard, perhaps freeing up their time to explore other financial avenues.
To learn more about saving for your parent’s retirement or to learn about mobility products that can help enhance your parents’ quality of life, such as wheelchair ramps or stair lifts, contact Williams Lift Co. today.