What do you know about your Parent’s money?

We have discussed my father a lot on DINKS Finance, and today we are going to learn a little bit about my mother and her financial situation.  Over the last three years my Mom has gone through an experience that we will all eventually have to face. As our parents get older, they will need someone to take care of them…and to take care of their finances.

My grandmother started to take less and less care of herself to the point where my mother had to step in and take control of my grandmothers living situation as well as her personal finances.  The living situation became controllable in stages. First, my mother had a nurse come into my grandmothers apartment twice a week to clean and cook her meals. When that didn’t work out, my grandmother moved in with my uncle. Finally, when my uncle was no longer able to take care of my grandmother they moved her into a senior’s residence.  My grandmother now eats 3 healthy meals a day, and gets the daily medical attention that she needs.

Could you clean up your parent’s financial mess?

Moving my grandmother into a senior’s residence was the least of my mother’s worries at that time. She had no idea what was in store for her when she had to pack up my grandmother’s apartment. When my mom went in to my grandmother’s apartment to pack up all of her personal belongings, she found multiple items, orders, and unopened boxes from the home shopping network.

My grandmother had ordered everything from full ladies wear suits to new dishes, and she hadn’t even opened all of the boxes.  The grandmothers spending and lack of financial self control lead my mom into a messy financial situation.  My grandmother had charged thousands of dollars of debt onto her credit cards, and my mother was left to clean up the financial mess.

Of course my mother could not bail my grandmother out of debt and therefore she declared bankruptcy on behalf of my grandmother.  My grandmother signed a Power of Attorney over to my mother and now my grandmother lives on a very small allowance at her senior’s home. My mother uses my grandmother’s pension to pay her monthly rent at the senior’s home, and she also provides her with a small monthly allowance to get her hair and nails done at the senior’s residence.

How much do you know about your parents finances?

I know which financial institution my deals and I know where she has her business but I do not know anything about her accounts or her financial standings, or her life insurance.  I don’t know if my mother will also leave a financial mess behind for my sister and I to clean up.

I think it is important that we learn about our parent’s finances.  Maybe not all of the financial details, but at least we can learn the basics.  It is better to prepared while they are here, than be shocked when they are gone.

(Photo By FlashPro)