One of the most difficult conversations you will have is what plans have your parents made for their financial future. It’s a balancing act between your parents feeling that they are not losing financial control and you being aware that they have some form of plan in place. All this while still respecting their boundaries. Remember that although you see yourself as a responsible adult, your parents still see the child in you.
This is the first of a series of articles about the difficult questions you need to be asking your elderly parents.
So as your parents move into later life consider these topics of conversation.
When did they last review their financial plan?
With the advances in medical science life expectancy for both men and woman is increasing. It may be that your parents have generous inflation-linked final salary pensions (also known as a defined benefit). Something to be aware of is if they are relying on one pension what happens when that parent dies? Usually, the pension reduces but the costs of running the home, stay the same.
They may have savings that are being used to top up their state pension. Will these saving last their lifetime bearing in mind the low returns seen from savings accounts?
In the case of an emergency are you aware of who their accountant, financial adviser or solicitor is, if they have one?
Do they have a safe place that they keep their financial documents?
If they have not done so already ask your parents to make a record of-
- Bank Accounts
- Savings accounts
- Any debts.
Ideally, with address and account, roll or reference numbers.
This is the first of a series of article that will be published over the next few weeks so please like or follow us so that you do not miss out on the next article.
How Anstee & Co can help with financial planning for your parents.
Having these financial conversations with your parents may be difficult so why not encourage them to involve an independent financial adviser like ourselves to provide financial advice and planning? Your parents may feel that the meeting would initial be with them alone but they may find that involving the family is beneficial once they have a plan in place.
As independent financial advisers, our advice is unbiased and we look at all the option available from the whole market. This is not the case with all advisers.
Meetings can be arranged in our offices or at your parents’ home. Weekends and early evening appointments are available. The first meeting is free and without obligation. It enables us to highlight the areas where we can help your parents and enables them to see how we operate. When we have an understanding of the work involve we will provide your parents with a written quote for the cost, if any. We will not undertake any work without their agreement.
Why not contact us today to see how we can help.
If you are a parent of grown-up children reading this article and your children have not raised these questions, ask them why they are not taking an interest in your financial wellbeing? Arrange the appointment yourself.