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Juggling for the Sandwich Generation of Caregivers

"How to avoid dropping the caring-for-yourself ball"

The article found in Next Avenue, called "The Sandwich Generation Juggling Act," says that when learning to juggle, you start with one ball and slowly add another. Eventually, people can learn to juggle three balls as hand-eye coordination becomes accustomed to the rhythm. But when they add the fourth ball, things can get dicey: this separates the amateurs from the serious jugglers.

Today, we have a societal juggling act going on within the Sandwich Generation of caregivers—the group defined as the 24 million Americans who are juggling children, careers, and caring for an older parent. While many individuals can handle three balls (me, children, career), once the caregiving ball is added, the ball that gets dropped is "me," or the caregiver themselves.

Caregivers should take each ball of responsibility they're juggling and focus on ways to keep that ball moving in a fluid motion. Juggling really only requires getting one ball into the air at a time, so let's look at each one.

Ball 1: Children. Children can become an essential ingredient in the care of an older grandparent. Most children, even as young as four or six, are tech-savvy unlike any generation before them. Asking a grandchild to connect with his or her grandparent via computer benefits both young and old when visiting in person isn't convenient. In addition, this online visit allows caregivers a needed break, maybe even a quick afternoon nap, which can aid by providing recuperative sleep time, increased alertness, and an improved mood.

Ball 2: Career. Many working caregivers don't know that their employer may have elder care or caregiving services that can help them juggle work and caring for an aging parent. In addition, many working caregivers forget that the Family and Medical Leave Act (FMLA) was created with this type of caregiving situation in mind. Almost all U.S. employers offer some unpaid leave to full-time employees. FMLA allows for eligible employees to receive 12 weeks of unpaid leave (26 weeks if caring for a covered service member or veteran). While FMLA provides job-protected leave, it doesn't require leave for the caregiving of a grandparent, in-law or sibling, leaving that to each state to define.

Ball 3: Caring for an Aging or Ailing Parent. The most critical caregiving decisions deal with senior living options or in-home care and financial aspects, which include long-term care plan benefits, legal documents, medical billing, and insurance coverage. If you have issues with insurance claims and medical billing, speak with an elder law attorney or estate planning attorney experienced with elder care and senior issues.

Ball 4: Me. According to a recent study, stress is a caregiver's Number One Enemy. Stress relief is vital and can be found in caregiver support groups. There are also online communities where caregivers create private groups inviting family and friends to assist with tasks while the caregiver attends to other activities or gets a little respite.

Caregivers also have to acknowledge that finding "me time" is critical to maintaining the strength and energy need to juggle the other balls. Self-care is the most important ball caregivers need to get up in the air and never let drop.

For more information on Estate Planning and Caregiving please visit our website

Reference: Next Avenue (December 16, 2015) "The Sandwich Generation Juggling Act"

Affording Adoption with the Help of Tax Credits

November is National Adoption Awareness Month. If you're considering adoption, you know that it will change your life in many ways. And you'll need to prepare for many of these changes – including the financial ones, because adoption can be expensive. The average U.S. adoption costs between $8,000 and $40,000, while the range for international adoptions is $15,000 to $30,000, according to the Child Welfare Information Gateway, a U.S. government-funded adoption information service.

The Middlesboro (KY) Daily News reports in "Thinking of adopting? Be prepared for expenses," that given these numbers, you might worry that you'll have a tough time paying for an adoption. You can, however, get financial help from some tax benefits. These include a credit for qualified adoption expenses and an exclusion from your taxable income of employer-provided adoption assistance.

The maximum tax benefit you can claim for this year is $13,400, which is reduced if your modified adjusted gross income (MAGI) exceeds $201,010 and is completely phased out if your MAGI is $241,010 or more. The adoption tax credit is nonrefundable, so it's limited to your tax liability for the year.

For example, say that you pay $13,400 in qualified adoption expenses in 2015, and your employer reimburses you for $3,400. If you meet the MAGI guidelines, you can exclude $3,400 from your gross income for 2015 and can claim $10,000 ($13,400 minus $3,400) for the adoption tax credit.

Remember that tax credits reduce your income tax liability dollar-for-dollar. Although these tax benefits will reduce your overall cost of adoption, you still have to find the money to defray all of the expenses of the adoption. The first step is to plan ahead, and as far ahead as you possibly can. The adoption process frequently takes a year or more, so you'll have some time to prepare. Select an adoption agency that best meets your needs, and get an estimate of the total costs. Once you have this, you can determine how to meet these costs.

Don't take out a loan from your 401(k) because a 401(k) loan will likely reduce the account's growth potential—which you need for retirement. There's also a loan from a bank, but that's still another debt to have to pay. If you were to wait for, say, two years, you might put away a specific amount every month in an "adoption fund" in an investment that's highly liquid and offers significant preservation of principal.

Adopting is wonderful, and a child will change your life. Planning ahead and carefully considering your options for paying for the adoption can help you do so with financial sense, now and in the future.

For more information on Adoption Tax Benefits please visit our website

Reference: Middlesboro Daily News (November 4, 2015) "Thinking of adopting? Be prepared for expenses"

Tips to Avoid Elder Financial Fraud and Abuse

The costs of elder financial fraud and abuse are more than financial. In fact, for elderly citizens who are financially exploited, the impact is more emotional than financial, a survey from the AICPA shows. This is because elder fraud frequently involves family members. What's more, fraud cases involving elderly clients are on the rise, with nearly half of the CPA financial planners who participated in the survey, around 47%, saying they have seen an increase in financial fraud in the last five years.

 

According to a recent On Wall Street article, titled “Elder Fraud: 9 Tips to Protect Clients,”there are two reasons for this increase.One is the fact that fraud is more likely to be reported these days with greater awareness in our country. Also, retiring baby boomers haven’t all been the most tech-savvy—scammers see them as easy targets with sophisticated frauds to steal their money.

 

The AICPA survey showed that the elderly are being scammed via phone and online scams, capitalizing on their inability to say no and falling victim to confusing or too-good-too-be-true representations. Here are some tips from the survey that elderly individuals can use to protect themselves:

 

• Create your financial plan and review it twice a year. Your estate planning attorney can help you make sure that the assets on hand are the same as what is detailed in the plan.
• Have a system of Checks and Balances. Contact information regarding your support team should be given to your estate planning attorney. These include bankers, accountants, clergy, and any designees with authority over health-care concerns, as well as family members and loved ones. Fraud is stifled with open communication among the members of the team, so that others are aware of actions and decisions.
• Communicate regularly. The article reminds people that it’s important to communicate any changes in their situation to their estate planning attorney.
• Allow your estate planning attorney to speak with family members. It is helpful to have your estate planning attorney be able to talk to family members or a professional on your team. Again, communication is important and can help recognize and stop fraud from occurring.
• Designate a co-trustee. This will help prevent an unscrupulous family member from taking advantage of an elderly individual by imposing their will and signing away their assets. The article suggests that if this is an issue, talk to an estate planning attorney about a revocable living trust and assigning a co-trustee for the account.
• Require double signatures for larger dollar amounts. This is a great way to make sure that a large chunk of money doesn’t walk out the door without your say-so. Thus, the reason for a co-trustee: to ensure that all checks are reviewed and approved by the co-trustee if more than a pre-determined amount. This can help reduce the risk of fraud, the article advises.

 

These are but a few examples. Your estate planning attorney can help you with other strategies and techniques to help prevent financial fraud and exploitation.

 

For more information on Elder Care and Elder Law please visit our site

 

Reference: On Wall Street (July 1, 2015) “Elder Fraud: 9 Tips to Protect Clients”

More Access for Veterans Proposed in New Legislation

The Senate has passed a bill further expanding a law giving veterans easier access to federally paid medical care from private doctors. The bill relaxes a rule that makes getting specialized care from local doctors difficult for some veterans in rural areas. Senators approved the measure by voice vote Friday. The Senate bill would open up private care to veterans who live within 40 miles of a medical facility run by the Department of Veterans Affairs, so long as the VA site does not offer the needed care.

If this bill is passed by the House and signed into law, it would mark the second change in 2015 to the so-called “40-mile Rule.” That designation is the boundary requiring veterans to demonstrate that they live at least 40 miles from a VA health site in order to obtain private care. The Associated Press investigated this new legislation in a recent article titled “Senate tweaks health law to boost specialized care.”

Sen. Jerry Moran, R-Kan., thinks that the VA was deliberately interpreting the 40-mile Rule to deny veterans needed care; however, the VA recently tweaked the rule. It now measures the 40 miles by driving distance, rather than in a straight line. Moran, who’s the sponsor of the Senate bill, said it "puts the veteran first and provides the fix the VA says they need to make certain that veterans are not dismissed or forgotten just because of where they live."

Lawmakers have been working to make changes in recent months. Many far fewer veterans were receiving treatment offered under the Veterans Choice law than were originally anticipated. As you know, this law was adopted last year after the VA scandal over long wait times for veterans seeking health care and falsified records covering up delays.

Sen. Johnny Isakson, R-Ga., chairman of the Senate Veterans Affairs Committee, was quoted by the AP as saying that the approved change would "ensure veterans can receive care outside of the VA health care system if they face geographic or travel burdens, have a medical condition that would impact their ability to travel or for other factors that may be determined by the VA."

VA Benefit paperwork can sometimes be hard to figure out. An experienced elder law attorney who understands these issues can help.

For more information on Health Care and Elder Care please visit our site

Reference: The Associated Press (May 22, 2015) “Senate tweaks health law to boost specialized care”

Kansas Works to Prevent Elder Abuse

Several Kansas agencies, including The Office of the Kansas Securities Commissioner (KSC), the Kansas Department for Children and Families (DCF) and the Kansas Department for Aging and Disability Services (KDADS) have partnered to recognize World Elder Abuse Awareness Day (WEAAD).  WEAAD is presented by the International Network for the Prevention of Elder Abuse and the World Health Organization.  The organization, founded in 2006, focuses on raising knowledge and of how people can prevent elder abuse in their communities.

Elder abuse comes in many forms, The Hays (KS) Post explains in a recent article titled “Agencies encourage Kansans to help prevent elder abuse in their communities.”  Elder abuse can be physical, financial, emotional, neglect, or abandonment, with several types of abuse often inflicted at the same time. Financial abuse is generally the most common form of abuse to elders, and the cost to victims is estimated at $2.9 billion annually.

Investment fraud is an area of concern because the victims can have their life savings wiped out with little or no opportunity to recover. Investment fraud can come in many forms, the article warns. The investment might be deceptive on its face, or it could be a legitimate product or service that’s unsuitable for the senior’s situation.  Other investment problems include unregistered products, outright theft of funds, or products sold by an unlicensed adviser or broker. Investors and caregivers are urged to “investigate before investing” and to call the KSC at (785) 296-3307 to verify if the product and person selling it are legitimate and whether there’ve been any complaints against them.

Studies show that family members and caregivers are guilty of elder abuse in more than half of these cases. Anyone can, and should, report abuse of an elderly person in any of its forms—physical, emotional or financial. Isolation, loneliness and poor health can put elders in a situation of being at greater risk for these scams.

The DCF has really ramped up its focus on fiduciary abuse over the past few years and has a staff auditor dedicated to pursuing financial exploitation of vulnerable citizens with the help of law enforcement.

“It is the responsibility of every Kansan to report suspected abuse,” DCF Secretary Phyllis Gilmore said. “We strive to work closely with law enforcement and other agencies to protect vulnerable adults.”

For more information on Elder Financial Abuse please visit our site

Reference: The Hays (KS) Post (June 20, 2015) “Agencies encourage Kansans to help prevent elder abuse in their communities”

New Protections for Elderly Investors

Two years after New York socialite Brooke Astor died in 2007, her son, Anthony Marshall was convicted of bilking her of millions of dollars. The heiress suffered from dementia, and did not know that her son, charged with her care, was paying himself from her assets. The Astor story is surprisingly common: a growing number of Americans suffer from Alzheimer's or another form of dementia and a sizeable percentage of those patients will fall victim to scams.

 

A recent Reuters article, titled “Protecting dementia sufferers from scammers gains ground in U.S,” says that states are now trying to provide greater protection for elderly investors. Three states have enacted laws that permit retail brokers to help deter scams against people with dementia.

 

The laws, which are being examined by other state legislatures, allow brokerages to halt an older client’s request to transfer money to others (at least temporarily) if a wealth manager suspects that his or her customer may have dementia and may be unknowingly be the victim of a scheme.

 

More than 5 million Americans over the age of 65 have Alzheimer's disease, which is the most common form of dementia, the article says. Citing the Alzheimer's Association, that figure accounts for roughly 1.5% of the U.S. population. Experts say this could grow to 7.1 million by 2025. 

 

The elderly are often easy targets for con artists and unscrupulous family members. In fact, U.S. seniors lose approximately $2.6 billion annually to financial exploitation. And more than half of this financial exploitation is committed by friends, family members, or caregivers.

 

Elder financial abuse is frequently hard to detect, but the article explains that requests for large, "questionable" sums of money can often be a clear sign.

 

Philip Marshall (Anthony's son and Astor's grandson) commented that these new laws might have helped protect his grandmother. The younger Marshall is a professor of historic preservation in Rhode Island who recently went on sabbatical to devote more time to elder protection issues.

 

Brooke Astor was an heir to the Astor family fortune that started back in the 18th century. She passed away in 2007 at age 105, and had a $200 million estate. Most of this was earmarked for charities. Unfortunately, her son exploited part of her estate that was to be used for her personal expenses. He paid himself roughly $1 million for managing her affairs in 2006, as was revealed in a court proceeding.

 

Some have concerns about these laws and think that perhaps the government could empower wealth managers to interfere with legitimate transactions and keep elderly people from their investments, the article reports. FINRA, an industry watchdog, is also developing guidance on the issue, with input from the SEC, as brokerages have asked for clarity on this because of rules that require them to execute a customer’s transaction.

 

Roughly half of the states have laws that require employees of financial institutions to contact state agencies if they suspect an elder customer is being financially exploited. However, many of these laws do not include retail brokerage employees or allow those institutions to delay withdrawals.

 

Brokerages are often put in a tough position when this situation arises. Contacting concerned family members to question an elderly client's instructions could run afoul of laws about protecting privacy, as well as rules that require processing transactions on time. That said, following the client's instructions can help the customer who otherwise may fall victim to a con or abusive caretaker. As it stands in most states, brokers could be liable for taking action or honoring such a transaction.

 

Contact an experienced estate planning attorney for guidance on how trusts may be used to help curb this abuse.

 

For more information on Estate Planning, Elder Law and Care please visit our website

 

Reference:  Reuters (July 1, 2015) “Protecting dementia sufferers from scammers gains ground in U.S.”

The Little-Known VA Long-Term Care Benefit

Here's a frightening statistic from the just-released United States of Aging survey:  Only 3% of professionals supporting people 60 and older say they are very confident older Americans will be able to afford their health care costs as they age. The survey was conducted by the National Association of Area Agencies on Aging, National Council on Aging and UnitedHealthcare.

Forbes reports in its recent article, "The VA Program That Pays for Long-Term Care for Vets," that one reason for the 3% confidence rate is the high and increasing cost of long-term care. It easy to see why that is, with the median price of a private room in a nursing home now about $91,000. That's an increase of 4% from last year.

About half of us will someday use nursing home care, and many others will need long-term care in assisted living facilities or at home.

But here's a little good news… there's a little-known Veterans Administration (VA) program that pays for some long-term care costs for vets and their families. It's called the Aid and Attendance Benefit. This benefit has been around for over 60 years and covers some expenses for in-home care, nursing homes and assisted living facilities. This benefit is available to honorably-discharged wartime veterans over age 65 and their widowed spouses who are eligible for a VA pension and require the "aid and attendance" of another person or are housebound. The VA calls this "additional pension benefits for care assistance in the home or in an assisted living community."

Aid and Attendance pays up to: $1,788 per month to a single veteran, $1,149 to a surviving spouse, $2,120 to a married veteran and $2,837 to a veteran couple. The benefit is tax-free. To qualify, the applicant must either:

• Require assistance with Activities of Daily Living (ADLs) like dressing, bathing,  and eating;
• Be bedridden;
• Be a nursing home patient due to mental or physical incapacity; or
• Have eyesight limited to a corrected 5/200 visual acuity or less in both eyes or concentric contraction of the visual field to five degrees or less

Of course there's the catch: applying for and receiving the money is a real pain in the bottom. The VA estimates it can take on average about five months for an Aid and Attendance claim to be processed after a veteran applies to a VA regional office. Even so, some applicants have been crushed with red tape and much longer waits.

The article tells the story of Frank Fassnacht, an 84-year-old former Disney projectionist now living in a Motion Picture & Television Fund home. He applied for the benefit three years ago, and still no luck. Because of the VA's high turnover rate, it's hard to find a consistent person to help you.

One other thing to note: a veteran may be turned down for the Aid and Attendance benefit if his or her assets are too great. The VA doesn't have a strict rule on how much assets one can have, but it's typically no more than $80,000 (not including your home), depending on age.

The article advises you to seek the assistance of an Elder Law attorney to apply. The rules and paperwork can be a super difficult, so a qualified attorney can really be a help. He or she can also assist you in preserving assets. Also, you should be ready to document your long-term care expenses and provide all the application materials.

For more information on Elder Care and Taxes please visit our website

Reference: Forbes (July 10, 2015) "The VA Program That Pays For Long-Term Care for Vets."

Helping a Loved with Alzheimer’s Disease

It’s important to plan for the future. This is especially true for families who have a loved one with Alzheimer’s disease or another form of dementia. If planning is done early, the person with the disease may be able to participate more in the decision making. Planning early can also reduce future stress for the family of the person with the disease. When someone has Alzheimer’s disease or another dementia, legal plans and financial plans are important to put in place.

The Lincoln (NE) Journal Starrecently contained an article about caring for a loved one with Alzheimer’s disease or another form of dementia. “Planning the future of a loved one with dementia” discussed some helpful information in both financial and legal planning.

You will encounter a number of costs in caring for a person with dementia. Planning for these expenses and costs throughout the course of the disease will involve examining all the costs you could possibly face now and in the future. These can include prescription drugs, personal care supplies, adult day care services, in-home care services, and residential care services.

Discuss financial needs and goals as early as possible. This way the person with the disease will be able to comprehend the issues, take a role in mapping out his or her objectives, and clarify their wishes. An experienced elder law attorney will have worked with financial advisors and will be able to point out potential financial resources, uncover tax deductions, and counsel against imprudent investment decisions. You may have these financial resources available to help you with the costs during the course of the disease:

• Health care coverage
• Long-term care insurance
• Life insurance
• Medicaid
• Veterans benefits
• Other public programs:

In addition, many states have state-funded, long-term care available, such as adult day care and respite care.

Legal capacity is the ability to understand the meaning and importance of a legal document, such as a power of attorney. A person suffering from dementia who has the ability to understand and appreciate the consequences of his or her actions to execute a document needs to be the decision-maker. As long as he or she possesses legal capacity, they should take part in legal planning. The article recommends these documents:

• Living will
• Power of Attorney
• Health Care Directive or Power of Attorney
• Will
• Living Trust
• Guardianship/Conservatorship

Talk to an experienced and qualified estate planning attorney if you have questions about elder care for your loved one.

For more information on Estate Planning, Tax and Financial Planning please visit our website

Reference: The Lincoln (NE) Journal Star (July 20, 2015) “Planning the future of a loved one with dementia”

California Trying to Help Its Seniors

 

Despite earthquakes, forest fires and drought, by the end of 2015, at least 5.1 million persons age 65 and over will make their home in California by the close of 2015.  Combine the impact of aging baby-boomers with current migration patterns, by the year 2030, the state’s aging population may be as high as 8.4 million. A recent report by the Senate Select Committee on Aging and Long Term Care, A Shattered System: Reforming Long-Term Care in California warns that, “Reliance upon our existing patchwork of programs and services to serve our growing aging and disabled population will result in unnecessary expenditures, inequitable access, and irrelevant services.”

California is trying to make progress in improving the services available to its growing senior population, according to an article in The (Crestline CA) Alpenhorn News titled “Legislative protection for seniors.”

California passed AB 1899 last fall, which required any licensee found to have abandoned residents of a residential care facility to be permanently banned from operating facilities in the state. Also, California legislators passed AJR 29 in 2014, legislation that asked for the restoration of federal funding for senior nutrition programs that had previously been reduced by federal cuts, as well as to exempt these programs from future budget cuts. The federal government’s reply to this request is stalled.

Now California state legislators are considering AB 1122, the “Excluded Persons Administrative Action List,” or “EPAAL” legislation. This bill would require the California Department of Social Services, Community Care Licensing (DSS/CCL) to publish online a list of all persons who are excluded from owning, operating, and/or working inside any licensed care facility as a result of an Administrative Law proceeding. The article notes that right now there’s no mandatory requirement for DSS/CCL to refer elder neglect, abuse, or other egregious behaviors against seniors residing in assisted living facilities to law enforcement, so very few of these crimes are prosecuted. But through Administrative Law proceedings, DSS/CCL can permanently or temporarily prohibit a person from working in a licensed care facility.

The current bill is supposed to provide convenient, online access to EPAAL, allowing everyone to verify that caregivers and the employees don’t have a prior history of behaviors which endangered the health or safety of a senior.

For more information on Elder Care and Caregiving please visit our site

Reference: The (Crestline CA) Alpenhorn News (June 19, 2015) “Legislative protection for seniors.”

Visitation Rights to Children of Ailing Parents

It's the quirky Christmases Catherine Falk remembers the most.  "To us, he wasn't 'Columbo.' He was dad," she told FoxNews.com of her famous father Peter Falk. "He wasn't in character. He was the character. He was genuinely this bumbling, goofy, absent-minded guy who was so funny and loved his family," Catherine Falk, remembered with a laugh. "We'd give him these Christmas presents and he'd put them in his trunk and forget about them. Then the next Christmas would come around and he'd open the trunk of his Mercedes and there they'd be, all the present from last year." The all-around funny family man would go on to create many happy memories with those closest to him. But when he got sick, things got complicated. His children accused his wife of alienating him. They said they weren't allowed to talk to or see him and were denied any information about his health. It's a case that's being played out in thousands of households in America.

Across the country, there's been a noticeable increase in adult children being denied access to their ailing parents. States are beginning to take notice and drafting legislation to open up visitation rights to children, according to a Fox News story titled“'Columbo' daughter pushes for bill that protects the right to visit sick parents.”

In Falk’s case, she and her stepmother were locked in a court battle over conservatorship and access to Peter for years. In 2008, he became completely incapacitated from his advanced dementia. Catherine then decided to create the Catherine Falk Organization, which advocates for the rights of adult children to see their sick parents.

Catherine was able to get an order for visitation from a court that was made at the complete discretion of the judge. Conservators in California currently don’t have to inform family members on the health, hospitalization or death of a relative. Part of the problem, California Assemblyman Mike Gatto said is the frequent tension between the second or third spouse and the children of the first marriage. That conflict often gets worse when a parent becomes sick. (Remember Casey Kasem?)

Current California law gives the rights relating to the care of loves ones to the spouse. Children have no legal way to arrange visitation with their ailing parents, to receive notice of hospitalization or even the death of their mom or dad. Children also have no access to information on the funeral arrangements.

Gatto’s bill, if passed, seeks to reverse the law and create a new legal process for adult children to ask the court to visit a parent under care who is not in a conservatorship. The Assemblyman thinks it will pass and hopes this law will be a blueprint for other states considering similar measures to help ailing seniors.

Contact an experienced elder law attorney who can help make arrangements to keep the family peace should that time come for your family.

For more information on Elder Care and Elder Law please visit our site

Reference: Fox News (June 7, 2015) “'Columbo' daughter pushes for bill that protects the right to visit sick parents”