The National Council on Aging reports that approximately 25 million adults living in the United States aged 60 or over are living at or below the poverty level. As a result of poverty, these seniors have difficulty paying for housing, food, and medical costs. Here are some of the reasons older adults may have little to no savings left during their retirement years.
1. Increase in Daily Living Expenses
The rising costs of medical insurance and medical care can easily affect a senior’s finances. Statistics indicate that up to 31 percent of older adults don’t have pension or savings to use as resources. Some seniors have never given retirement planning much thought, while others may have made poor investment choices that didn’t yield as expected. Consider helping your loved one out financially.
Financial assistance is not the only type of help older adults may require. If your aging loved one needs occasional help with bathing, grooming, cooking, or other basic household tasks, or if you need time to attend to important personal matters, reach out to Home Care Assistance, a leading provider of live-in and respite care. Philadelphia seniors can maintain their independence while living at home with the help of our reliable respite caregivers.
2. Debt Accumulation
It’s not unusual for older adults to share their assets with their children or grandchildren. However, a lack of planning may leave seniors with an insufficient amount of money to live on. As a result, they may resort to using credit cards or loans to supplement their income, which compounds the issue. Seniors should consult with a debt counselor to determine how they might be able to better manage their income.
3. Lack of Information About Interest Charges
In addition to racking up debt by making extensive purchases on a credit card, some seniors are unaware of how interest and late fees are charged. Families need to educate their senior loved ones on how the fees are assessed and added to monthly bills.
4. Financial Insecurity Following the Loss of a Spouse
Older adults may find themselves at a loss when a life partner passes away, particularly if the spouse was responsible for handling all of the household’s financial matters. Difficulties arise if accounts aren’t listed in both names. Whether they need help deciphering finances or solving asset-related issues, older adults should turn to a family member or a financial advisor.
The loss of a spouse can be an emotionally overwhelming experience for older adults. However, seniors can boost their overall wellbeing by choosing in-home care. In Philadelphia, senior care agencies can be a great boon to seniors. With the help of the caregivers at Home Care Assistance, your aging loved one can lead a happier and healthier life. We offer a revolutionary program called the Balanced Care Method, which encourages seniors to eat nutritious foods, exercise and socialize regularly, and focus on other lifestyle factors that increase life expectancy.
5. Reverse Mortgage Dangers
Some older adults may resort to getting a reverse mortgage. However, they may soon find they don’t receive as much money as they hoped. As a result, older adults face difficulty keeping up with homeowners insurance or property taxes, which puts them in danger of losing their homes while still owing money. Financial experts don’t recommend reverse mortgages as an option.
Many naïve or trusting adults are targeted for a variety of scams. To reduce the risk of being scammed, older adults should be counseled to safeguard personal or financial information, and they should also check their monthly financial statements for errors. When suspicious activity does occur, seniors need to contact law enforcement authorities as soon as possible.
Financial security is not the only thing older adults need to boost their health and maintain a high quality of life. Seniors who want to remain healthy as they age can benefit in a variety of ways when they receive professional elder care. Philadelphia, PA, Home Care Assistance is here to help your loved one accomplish daily tasks, prevent illness, and focus on living a healthier and more fulfilling life. To talk to one of our professional Care Managers, call us at (215) 645-4663 today.