6 Tips for Managing Your Expenses While Assisting Your Parents
1. Make a budget – Determine how much you and your parents will use each month. Make sure to include caregiving costs, medical, etc.
2. Cut costs – Review expenses with your parents and see what areas you can cut back on. Be sure to research public benefits for your parents, such as Supplemental Security Income (SSI).
3. Plan for long-term expenses – Discuss pros and cons of a parent moving in with an adult child, parent moving to assisted living facility, and assisting a parent financially.
4. Keep you income – If you work during the day be sure to look into an adult day center for your parent. A good place to start your research is an Office on Aging in your area.
5. Consider hiring help – If you live far away from your parent, consider hiring a local geriatric care manager to organize a parent’s care and activities.
6. Lower your tax bill – If you provide financially for your parent you may be able to list them as a dependent on your tax return. Be sure to ask your tax professional on how to go about doing this.