The number of individuals who find their souls sandwiched between generations, is growing at an exponential rate. On the other hand, the baby boom generation continues to grow older and experts claim that their life expectancy is expected to be longer than before.
Similarly, children live at their parents’ home for long periods- meaning that those who are in the middle age are financially supporting and caring for both generations at the same time.
Research shows that at least 1 out of 8 Americans that are between the ages of 40 and 60 are caring for both parent and grandparents and their children at the same time.
Well, the truth of the matter is that care giving, more often than not coincides with years of career demands that are intense and also the need to save finance for retirement.
If you fall under the sandwich generation, read on the following financial strategies to help you and your family get through the huddle.
Choose your priorities
It is crucial to start saving for retirement when it is still early. For you to do this, you need to scale back in other aspects such as spending money on cars and vacation or other luxuries.
Stick within the budget
Taking care of your parents or grandparents can seriously horn your budget. This is because you have so much on your plate, coming up with a vital plan is crucial. The best thing to do is to set limits on your spending, shopping sales and stick to a revised budget.
For instance, when it comes to holidays and vacations, you can focus on shared family experiences instead of dollars spent. To stay within the budget, you also use your banks’ spending alert.
Have an annual checkup
Ensure that you spare some time off work and sit down with your financial adviser to review your financial priorities. Additionally, ensure that everything is aligned perfectly.
Plan for eldercare
Although most parents expect the costs that come with bringing up children, majority don’t budget for the expense of looking after their parents. These costs include medical expenses, paid caregivers and nursing facility. The best way to help ease pressure is to budget in advance and also to check for available benefits via the federal government such as Social Security.
Use the latest technology
Websites such as HomeHere.org helps families get in-home care for elderly individuals in California. With this website, users can search for caregivers as well as using the website to make payments.
Automating this whole process via a site makes it easier and cheaper for families to find reliable and experienced caregivers. The use of caregivers becomes imperative especially when your parents are living far away, or when you work overseas.
Coordinate with your siblings
Working hand in hand with family members and siblings is critical. It is quite essential before any health crisis hits your parent(s). It is wise to sit down with your family members and have conversations. This will help you prepare yourself psychologically as well as financially.