Financial advice for carers: Tips for managing a family member's finances
If you are caring for an ageing family member make sure you have made the necessary financial and legal arrangements to help you in your role.
If you are organising residential aged care or home care for the long term you will need to know a family member's financial position and what they can afford. Always seek financial advice from a financial advisor before signing any contracts with a residential aged care facility.
Legal and financial arrangements can only be made whilst a person has capacity and understands what they are doing. Dealing with these issues before a crisis event is necessary and can help avoid future conflict.
Managing someone's finances
Most carers need to help a person pay bills, access bank accounts, organise medical benefits and government pensions. You will need to make arrangements with a bank or other companies for you to pay bills or access accounts on their behalf.
To do this you will have to make sure your family member has organised:
- Power of Attorney
- Enduring Power of Attorney
- Guardianship
- Nominee arrangements with Centrelink to help manage pensions
- An up-to-date will
At some point you may need to access:
- Birth and death certificates
- Property deeds and lease arrangements
- Investments/debts/shares
- Home, life, health insurance policies
- Bank account details
- Funeral arrangements
Ask your family member where they keep important documents in case of an emergency. If a family member keeps files on a computer you will need to know the password.
Who can help you?
- A solicitor or the guardianship board can help you organise Enduring Power of Attorney and other legal matters.
- Always discuss your financial affairs with a financial advisor.
- Call Centrelink's Financial Information Service (FIS) for free information on how to manage the costs of caring 13 10 21.
- Find a financial advisor at The Financial Planning Association of Australia.
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