March-April 2021

Health & Aging: Is Your Family Ready to Cover the Costs? By Merrill Lynch Wealth Management Note to our readers: This consumer-friendly column can be used by loan originators to help educate potential clients about per- sonal financial issues and ideas. MOST PEOPLE DON’T want to think about the health-related what-ifs that come with aging, let alone talk about them—especially with family. Nonetheless, that conversation is critical to have. Having a plan in place that you’ve put together as a family can free everyone up to focus on each other, instead of worrying about where the money will come from should you, or an aging parent or spouse, fall ill. “The best time to talk about these matters is before you need to,” notes Cynthia Hutchins, director of financial gerontology at Bank of America. Below are four questions to help you start having these important family talks with your spouse, your children, your parents and your siblings. Use them to share your expectations with your family. Consult your financial adviser about ways to prepare financially for the healthcare costs that may occur. And keep talking as years go by and circumstances change. While no one can know the future, being prepared for what might come next can make the road ahead easier. Here are four questions that can help you start having these important family conversations. Where will the money come from? Talk about poten- tial expenses associated with a long-term illness, such as home healthcare or modifications to the family home to accommodate a future disability. Should your parents pur- chase disability or a long-term insurance, consider choices, such as hybrid forms of life insurance and health savings accounts, or simply save and invest more? Review your choices with your financial adviser, who can help you ensure that your retirement and any other goals aren’t put in jeopardy. Money Sense 6 REVERSE MORTGAGE / MARCH-APR I L 2021