During a recent conversation with a former colleague, he openly shared with me that he was worried about the financial situation of his parents, especially as it related to healthcare needs and costs. His parents, both in their late 70’s, were struggling with medical issues. Sadly, his mother was recently diagnosed with Dementia.
He also told me that did not know the exact amount of money his parents had or would need, but he suspected they did not have much saved. His father had shared with him on a prior occasion that they did not have a large “nest egg,” and they were relying on social security for most of their living expenses. He knew that his parents did not have long-term care insurance.
Although his parents owned their home, their property taxes were very high and they “did not want to move.” He admitted “occasionally” helping his parents pay their credit card bills so they did not carry a high-interest balance.
I remembered that he had children, but I couldn’t remember how many. He reminded me that he and his wife had three children, ranging in age from 14 to 20. The oldest was in college, and their middle child was applying to colleges. He shared that they were covering their oldest child’s college costs, but were concerned about being able to pay for his other two children.
When I asked about his financial situation and goals, he said he and his wife had a “fair amount” of savings but only had a relatively small amount set aside for emergencies, and were unsure if they would ever have enough to retire comfortably. Neither he nor his wife were clear about her parents financial situation, since they were “very private people.”
He and his wife paid an advisor for a financial plan “about five years ago” but a lot had changed over the last few years and that original plan definitely didn’t contemplate parental care beyond a “few monthly expenses.”
Our interaction motivated me to write about his circumstances as a member of the “sandwich generation,” and offer information to help younger adults begin considering and preparing, as needed, for this situation.
If you are interested in learning more about the sandwich generation, what it may cost you to be part of this cohort, and a few tips for navigating your membership, then please read on.
Continue reading “What it means to be a sandwich generation caregiver”
