Let us all agree that caregiving costs a lot of money and that we need to take decisive measures against bankruptcy now. Financeforhealth.com aims to provide valuable information in the form of budgeting tips, financial solutions, and expert advice to every caregiver out there struggling with the demands of the task.
We have elderly spouses left with little resources after caring for their partners and adult children barely able to safeguard their retirement plans. We need to avoid this from happening to the next generations by encouraging everyone that you love to secure a long term care plan as early as now.
Money does not grow on trees, and no one understands this more than the caregiver wrestling with the costs of care. In fact, 1 in 5 caregivers experiences financial problems brought about by the demands of the task. Moreover, caregivers who strive to maintain their jobs are finding it hard to balance everything that is on their plate. Reports have shown that 6 in 10 caregivers confessed having to make workplace adjustments to accommodate the demands caregiving. Some choose to cut back on working hours while others choose to take a leave of absence. As a result, many working caregivers face reduced incomes.
Budgeting your money as a caregiver is absolutely vital. While it may not completely solve the financial strains that caregivers face, it can surely help in pacing your spending. Here are some ways to help you ease the financial burdens as a caregiver:
List down all your expenses and your income, and then put them side by side. Determine the costs that are too high, and then search for affordable alternatives that can help you cut costs. Also, identify the expenses that you and your care recipient can do without, and then remove them from the equation. Be sure to include your care recipient in the decision process.
Once you have done so, set a budget that is feasible for you and the person you are caring for. Remember that setting a budget too small may also be detrimental. It can create frustration and even friction between the people involved. Be sure to find the balance.
Paid home health care, such as homemaker services and home health aides, may be tempting, but they can cost a lot of money. If it is unnecessary, then it would be better to find alternatives. Family caregivers can seek the help of other family members.
Also, some local communities provide services that help the elderly individuals. These may include free transportation services or group activities that help provide companionship. You can look in the various organizations in your vicinity that provide these types of services.
When the care needs get too much, some family caregivers often leave their jobs to meet the demands. Now, this puts them in a compromising position because, without proper long term care coverage, family caregivers would have to look to other means to support themselves and their care recipients. Some have had to dip into their own retirement funds to cover the expenses, and we all know that this can have a dangerous outcome.
If this is the situation that you are in, then bear in mind that keeping a source of income is still important. Various opportunities are available online. These jobs can let family caregivers work in their own environment with a more flexible work schedule. This way, they are only stone’s throw away from their loved ones and could easily respond to their needs.
Dealing with taxes always brings a kind of headache you cannot massage away so easily. However, caregivers can reduce their taxes through certain deductions. For more information on this, take a look at this: Long Term Care Tax Deductions.
We hear it often, and yet many people still choose to delay it: securing your long term care needs early is a necessity. As family caregivers, you may feel like your needs only come secondary to your care recipient’s, but you must find a way to prioritize your future care needs too. You can see how lack of coverage can affect the entire family and leave a person in a frustrating situation, so make the choices that will keep you from that future.