Americans who take time off work to care for their aging parents are losing an estimated $3 trillion dollars in wages, pension and Social Security benefits, according to a new MetLife study. Meanwhile, the percentage of adult children providing basic care for their parents has skyrocketed in recent years.
Nearly 10 million adults age 50 and over care for an aging parent, MetLife says. For the individual female caregiver, the cost impact of caregiving in terms of lost wages, pension and Social Security benefits averages $324,044. For male caregivers, the figure is $283,716.
The study also identified a dramatic rise in the share of men and women providing basic parental care over the past decade and a half. In 1994, only 9 percent of women and 3 percent of men and were providing care. By 2008, the percentage of women caregivers had more than tripled to 28 percent, while the figure for men had quintupled to 17 percent. "Basic care" is defined as help with personal activities like dressing, feeding, and bathing. Daughters are more likely to provide basic care and sons are more likely to provide financial assistance, the study found.
"Undoubtedly, the impact of the aging population has resulted in increased need within families for family caregiving support," the study notes.
At the same time, MetLife found that adult children age 50 and over who work and provide care to a parent are more likely to have fair or poor health than those who do not provide care to their parents.
The study was based on an analysis of data from the 2008 National Health and Retirement Study (HRS).
The findings have implications for individuals, employers and policymakers, MetLife says. Individuals, it says, should consider their own health when caregiving and should prepare financially for their own retirement. Employers can provide retirement planning and stress management information and assist employees with accommodations like flex-time and family leave.
On the policy side, although only a few states mandate paid family and medical leave, "clearly this policy would benefit working caregivers who need to take leave to care for an aging parent," the study concludes. MetLife also notes that the CLASS Act, a voluntary long-term care insurance program that is part of the new federal health reform law, will provide some coverage for long-term care needs as well as raise public awareness of the issue.
For more on the study, "The MetLife Study of Caregiving Costs to Working Caregivers: Double Jeopardy for Baby Boomers Caring for Their Parents," click here.
Reprinted with permission by ElderLawAnswers.com
Showing posts with label family estate. Show all posts
Showing posts with label family estate. Show all posts
Friday, September 16, 2011
Tuesday, February 15, 2011
Currently on The Swinton Law Firm Radio: When to Use an Elder Law Attorney
My website, www.swintonlaw.com, has a link to Elder Law Radio. The current show is summarized below. You can listen online or download it for later.
I hope you find it informative.
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I hope you find it informative.
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| The Swinton Law Firm Radio |
| When to Use an Elder Law Attorney Peter J. Strauss with Harry Margolis |
 Peter J. Strauss is co-director and founder of the Elder Law Clinic, which provides representation to persons for whom a guardianship is sought and serves as court evaluator in guardianship proceedings. He also teaches the Elder Law course. He has been an adjunct professor at New York Law School since 1992 and was named distinguished practitioner in residence in the fall semester 2003. |
Tuesday, April 27, 2010
What Is Estate Planning?
The definition of Estate Planning is easy: it is a plan for your estate. Your estate is what you own; it is your stuff.
If you become mentally incapacitated, perhaps by accident or illness, you can no longer manage your stuff. You can't buy or sell what you need, pay you bills, or file your taxes. Someone will have to do this for you. If you plan for this with Powers of Attoney or Trusts, you get to choose who helps you manage your stuff. If you don't, a judge will choose someone for you after an expensive court proceeding. You may not agree with the judges choice and it may be a stranger who is charging you hourly.
When you pass away, the ownership of you stuff must pass to someone else (sorry). If you plan in advance for this, you get to choose who gets what, when they get it and how they get it. You even get to avoid taxes that will be due if no planning is done. You can do this by getting a Will or Revocable Living Trust. You can also control who gets what with beneficiary designations such as with life insurance and retirement accounts. Bank accounts can be designated Payable on Death (POD) to your beneficiary. You can also own an asset jointly with someone else so that they become the sole owner if you die. If you do not plan in advance, the law sets forth who gets what.
A typical Estate Plan may have a Will, Trust, Financial Power of Attorney, Healthcare Power of Attorney and a Living Will. This planning is really not so much for you but for your loved ones. If you have an Estate Plan, check to see if it needs an update. If you don't have a plan, get one. Your loved one's will thank you someday.
If you become mentally incapacitated, perhaps by accident or illness, you can no longer manage your stuff. You can't buy or sell what you need, pay you bills, or file your taxes. Someone will have to do this for you. If you plan for this with Powers of Attoney or Trusts, you get to choose who helps you manage your stuff. If you don't, a judge will choose someone for you after an expensive court proceeding. You may not agree with the judges choice and it may be a stranger who is charging you hourly.
When you pass away, the ownership of you stuff must pass to someone else (sorry). If you plan in advance for this, you get to choose who gets what, when they get it and how they get it. You even get to avoid taxes that will be due if no planning is done. You can do this by getting a Will or Revocable Living Trust. You can also control who gets what with beneficiary designations such as with life insurance and retirement accounts. Bank accounts can be designated Payable on Death (POD) to your beneficiary. You can also own an asset jointly with someone else so that they become the sole owner if you die. If you do not plan in advance, the law sets forth who gets what.
A typical Estate Plan may have a Will, Trust, Financial Power of Attorney, Healthcare Power of Attorney and a Living Will. This planning is really not so much for you but for your loved ones. If you have an Estate Plan, check to see if it needs an update. If you don't have a plan, get one. Your loved one's will thank you someday.
Friday, April 9, 2010
What Is An Estate?
As an estate planning attorney, the term "estate" has a specific meaning to me. Yet I am constantly reminded that the term "estate" often means something else to others. For example, prospective clients often say to me "I don't need estate planning, I only need a Will".
What does the word "estate" mean to you? I used to picture a mansion in the English countryside surrounded by a large well manicured lawn behind an iron gate and brick walls. Law school changed that meaning for me.
Your estate is simply what you own in your own name or jointly with others. So your estate may include a house, car, bank accounts and investment accounts like mutual funds or other stocks and bonds. Your retirement plan, such as an IRA or 401k is part of your estate. The value of your insurance policy is part of your estate even though someone else is getting the money. Other estate assets are debts owed to you and the value of any business you may own. Your estate even includes your "stuff" like the contents of your home.
So we all have an "estate". You can plan ahead to decide what should happen to your estate should you die or become incapacitated. There is a term for planning ahead like that, wait ... it is on the tip of my tongue ... Estate Planning!
What does the word "estate" mean to you? I used to picture a mansion in the English countryside surrounded by a large well manicured lawn behind an iron gate and brick walls. Law school changed that meaning for me.
Your estate is simply what you own in your own name or jointly with others. So your estate may include a house, car, bank accounts and investment accounts like mutual funds or other stocks and bonds. Your retirement plan, such as an IRA or 401k is part of your estate. The value of your insurance policy is part of your estate even though someone else is getting the money. Other estate assets are debts owed to you and the value of any business you may own. Your estate even includes your "stuff" like the contents of your home.
So we all have an "estate". You can plan ahead to decide what should happen to your estate should you die or become incapacitated. There is a term for planning ahead like that, wait ... it is on the tip of my tongue ... Estate Planning!
Monday, November 16, 2009
Creating an Estate Plan Today or Updating One Needs to Address Areas That Were Once Never Considered
If you have a will detailing your assets, make certain that you create it or update it to include not only the list of financial accounts but your usernames and passwords, too! Without log-in information, survivors usually need to go to court for legal authority to gain account access. The process varies from state to state; it doesn't always require a lawyer but it always takes time. In addition, the process can involve the heir approaching the individual online companies to heed her authority - a task that can be very frustrating. Many married couples today already face this issues when trying to get a simple balance on a credit card that is only in one spouse name. Companies today are reluctant to release any information at all-regardless of avoiding potential litigation for personal information violations.
Try contacting customer service and telling them, 'I've been appointed as my late brother's administrator. Please give me his user ID and password”. Eventually, of course, this type of problem is solved when you can reach a real human being who doesn't act like this is the first customer ever to die. But these people have to be sought out within every institution.
The process can be even more complicated if someone is incapacitated rather than dies. If there's no power of attorney, then you have to have a guardian or conservator appointed to have access to these records. Furthermore, some companies won't release any information without a specific court order.
The time to gather all of this information can be lengthy and the costs associated with it, can be more than most families expect. It is definitely an area that can be avoided if you plan for it in your estate plan or be sure to update your existing plan with all of your usernames and passwords.
Try contacting customer service and telling them, 'I've been appointed as my late brother's administrator. Please give me his user ID and password”. Eventually, of course, this type of problem is solved when you can reach a real human being who doesn't act like this is the first customer ever to die. But these people have to be sought out within every institution.
The process can be even more complicated if someone is incapacitated rather than dies. If there's no power of attorney, then you have to have a guardian or conservator appointed to have access to these records. Furthermore, some companies won't release any information without a specific court order.
The time to gather all of this information can be lengthy and the costs associated with it, can be more than most families expect. It is definitely an area that can be avoided if you plan for it in your estate plan or be sure to update your existing plan with all of your usernames and passwords.
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