When a person has Alzheimer’s disease, dementia, or another illness that affects mental function, a well-thought out plan for the future should be created and implemented by the family. This plan should include the input of an Elder Law Attorney, and perhaps a CPA and financial planner, depending on the assets involved.
The plan should address issues related to long-term care (there will come a time when care cannot be provided in the home), monetary benefits to help pay for that expensive care, and asset management/protection. Medical insurance should be reviewed, because all Medicare supplements and Medicare Advantage plans are not equal. This can make a critical difference in the quality of care as the disease progresses. Legal documents should be created or reviewed so that proper actions may be taken when disease takes its toll, and the senior loses capacity. Further, the family should be informed about what to expect, and what the options are.
Unfortunately, well-meaning family members often make very serious mistakes when they act “in a vacuum” and do not consult professionals before taking action. They obtain poorly drafted and inappropriate legal documents from the Internet, and attempt to become the Agent under the ill senior’s Durable Power of Attorney. The family member makes very serious mistakes such as selling the family home, cashing out IRA’s and annuities, and transferring assets illegally or inappropriately. Their misinformed actions cloud title on the home, cause a loss of important government benefits, cause large tax liabilities to the ill person as well as to the heirs, as well as other serious problems.
These family members typically believe they are acting in the senior’s best interest. They claim they have relied on a neighbor’s advice, a hospital worker’s advice, or Internet blogs. The non-professional advice given is simply wrong, and causes great harm. Families who are dealing with Alzheimer’s disease or other cognitive impairment illnesses should realize that this area is extremely complex, government regulation intensive, and critically important to the health and well being of the senior, as well as the senior’s family.
For more information, please call 661-287-3260, or visit our website at www.theMcNamaraLawFirm.com.