In the past few months I’ve been hearing more about children or caregivers of seniors being the people who do the initial research on reverse mortgages for their parents. Are they doing this because a senior has asked them or are they doing it because they are worried about their parents financial situation?
According to a recent survey conducted by Crestwood Associates on behalf of Golden Gateway Financial, half of all senior citizens that participated said they haven’t had an in-depth conversation about their financial situation with their adult children. In total, only twelve percent of all seniors surveyed had spoken with their children and developed a sound plan to address their financial challenges. According to Crestwood Associates, this reveals a critical need for a more open financial dialogue between older Americans and their children.
Other highlights of the study include:
- Approximately half of all senior citizens and adult children surveyed responded that they had not spoken about their parents’ financial situation
- Roughly one quarter of seniors who have spoken with their children still have not found a solution to their parents’ financial difficulties
- Two thirds of senior citizens who had not spoken with their children declared that they did not want to discuss finances with them in the future
- Only a third of adult children surveyed reported having confidence in their parents’ retirement finances
With housing pricing dropping across most parts of the country I can understand why a seniors son or daughter might be more concerned than before. Are you starting to see seniors children play a more active role in their parents financial planning than before? Leave your comments below.