Many people would prefer to discuss anythingincluding politicsif it means they don’t have to talk about money.
But financial conversations are essential to avoid misunderstandings and money missteps, including across generations.
What are their wishes for their money?
Do they want to travel?
Gift it to a charity or organization they care about?
Fund education for their grandkids?
Comfortably cover long-term care costs?
Do they have an estate plan?
What are their assets (and how are they titled)?
An inventory will also include liabilities, like mortgages and other debts.
How are they funding retirement?
Have they designated power of attorney?
This conversation should also cover your parents' wishes in more detail.
Do they have updated beneficiaries?
How will care be provided and paid for?
Meanwhile, long-term carecan easily cost tens of thousands to more than six figures per year.
How can important information be accessed if needed?
You should also discuss how to hand down logins to everything from bank to social media accounts.
Sharing your own experience can create common ground and highlight the importance of the process for both generations.
Start with the easiest or most approachable topic first and go from there.
Remember that you don’t need specifics, such as which beneficiaries are receiving which assets, right away.
Rather, the goal is to help your parents protect their financial wellbeing and their wishes.
