Discuss Latest POF Blog Post: Having the Financial Talk… With Your Parents

[The White Coat Investor]

A reader who goes by TxBossFan reached out to me not long ago, asking to share some information he learned the hard way. Of all of the awkward conversations you can have with your parents, talking about their eventual passing may be the most difficult, but it’s also the most important. You want to know where their assets are, what their wishes are for them, how to access them in their absence, and so much more. TxBossfan created this outline [...]

Click here to view the article!

[8arclay]

This is one of the few things that really stresses me out. My in-laws are quite financially irresponsible, and have lived well beyond their means for years. They own and run a successful small retail business, however other than the building nothing more to show for it. My MIL has some chronic health issues as well, not sure how much longer she is going to work. She has a mindset of retirement being an age instead of a financial status. Im afraid their mis-management will at some point become my burden

[Tim]

I hope you have that discussion with your spouse. Good luck.

[artemis]

It's a good article. I am amazed how complicated our society has made settling an estate. I am certainly not looking forward to doing it on behalf of my parents! Just thinking about filing a final tax form with the IRS has me breaking out in hives. Fortunately my father is being very realistic about the reality of his aging and eventual death, and has taken steps to insure I'll have both the information I'll need and competent help when that day finally comes.

[Lordosis]

Unless there are drastic changes in the lives of my family members I do not think there will be much of value to split. Luckily my parents are still on the younger side and in relativity good health. Unfortunately their net worth is probably at best less then 100K and more likely 0 or negative. Me and my siblings will get to fight over who gets the underwater house or the remaining term on a leased truck/camper/timeshare.

[artemis]

Unless there are drastic changes in the lives of my family members I do not think there will be much of value to split.

Unfortunately that doesn't insulate you from the headaches of settling their (no value) estate, or for the hassles of paying their bills while they are incapacitated in a hospital or nursing home.

End-of-life issues are just ridiculously complex (and we all get stuck dealing with them eventually). I've said on more than one occasion that the first thing I am going to do when it's time to settle my parents' estate is to hire my brother to do it - and I'm only half-joking.

[Tim]

"when it's time to settle my parents' estate is to hire my brother to do it - and I'm only half-joking."
The reality is that the tasks actually can be addressed now a whole lot easier than later. If you both can agree to it, giving the authority and responsibility now is a fantastic way to handle it. No joke.
One small problem, the parents might get the impression you both are growing impatient!

In all seriousness, parents can actually take comfort in knowing everything is taken care of in advance. Now in jest, don't sell mom's clothes in a garage sale. Counter productive move.

[Lordosis]

I know. Dealing with the headaches and the financial burden will surely stink.

[mkintx]

The legal, financial, and healthcare matters are well spelled out by my parents, but the digital issues are a nightmare, imho. I have started using LastPass with a family plan, and it has an option for a contact to request a password. You can set it up so that if a request is not denied after a certain number of days, it is granted. It has been shocking for me to realize I have over a hundred passwords for websites, and it is reassuring that my survivor will be able to access all of my accounts once I am gone, and to have a record of all of them in one place. I have tried to get my parents to use this system, but so far no luck.