Managing money matters of someone with dementia
Caring for someone with dementia is a complex, emotional process, which is why it is so important to make sure you have a plan in place. We’ve outlined four of the main concerns for carers managing the money matters of dementia sufferers. An awareness of the issues at hand is the best way to prepare for this unfortunate situation.
1. How will they meet everyday expenses?
As the Australian Securities and Investments Commission’s (ASIC) MoneySmart resource puts it well when it says, “Things you found easy before – like tracking your spending, checking your bank statements or investments, or even paying your bills – may become challenging or you may just not remember you need to do them.”
A joint access account can ensure the caregiver is ultimately able to track all spending, check bank statements and investments and ensure bills are paid on time.
2. Where will they live?
Many people suffering from dementia can easily remain in their homes for years with a degree of assistance, but it is important to have an exit strategy in place. At some stage, they may need to be moved to a facility that offers are higher level of care, so it’s important to have a frank discussion as to what this process will look like.
3. Has an Enduring Power of Attorney been appointed?
An Enduring Power of Attorney is someone appointed to make decisions on the behalf of an individual if they’re in circumstances where they’ve lost capacity to do so.
As ASIC states, “Whether you choose one person or two people for this role, it is important they understand the responsibilities and legal obligations of an enduring power of attorney. No matter who you appoint, you should discuss your decision with your family so everyone knows and understands your wishes. This will help avoid disputes later on.”
4. Have they written a will?
It’s an unpleasant topic to consider, but it’s important for dementia sufferers to have an updated will. As ASIC notes, “A diagnosis of dementia does not automatically mean you have lost capacity to make these decisions for yourself. However, if you are concerned about memory loss, or someone close to you has been diagnosed with dementia or another form of memory impairment, it is important to acknowledge the issue and obtain legal advice, or consult the Public Trustee, to help you create or update your will.”
Do you know someone suffering from dementia?