Finances And Dementia: Learn The Signs And What To Do

As of 2020, more than 55 million older adults live with dementia worldwide. Unfortunately, this number doubles every two decades and is expected to reach 139 million by 2050.

Dementia is not a singular condition but a term used to describe various cognitive conditions that affect a person’s memory. Many signs and symptoms come with dementia, but a surprisingly prevalent signifier that a loved one may struggle with dementia is related to how they manage their finances.

Financial-Related Signs of Dementia

Dementia is a complicated condition that can make it challenging for individuals to perform complex financial tasks like balancing a checkbook or allocating funds to various accounts. As the disease progresses, individuals may struggle with more basic tasks like paying bills or counting money.

Financial-related dementia signs that you should look out for in your loved one include:

• Unusual withdrawals from accounts
• Unpaid bills or seeing many unopened bills
• Maxed out credit cards
• No financial organization
• Hoarding cash

Helping A Loved One Who Has Dementia With Finances

If you notice a loved one with dementia struggling with finances, you may want to step in and help out before they dig themselves into debt or their bills go into collections. Consider these tips for helping a loved one with finances:

• Open communication: Before you take over your loved one’s finances, start by openly discussing your concerns. Let them know you want to help and ask if they know about their financial challenges. For tips on communicating with someone who has dementia, read one of our recent blogs on Dementia Communication Strategies.
• Gather financial information: Collect your loved one’s bills, bank statements, and other documents. Some documents may be in the home or a safety deposit box. Others may be online, linked to their accounts. Gathering this information will give you a better picture of your loved one’s financial situation.
• Setup automatic payments: If your loved one is having trouble remembering to pay bills, set up automatic payments so they are automatically paid monthly. You can also set up direct deposit if your loved one has income or retirement payments. Direct deposit ensures there’s always enough money in the account to pay bills.
• Monitor spending: Some seniors with dementia spend more than they have or will double-pay bills. Consider setting up a separate account with limited funds your loved one can use for daily expenses. You can use an online account, such as Venmo or PayPal, that will send notifications to your email whenever your loved one makes a transaction.
• Consider a power of attorney: If the financial status of your loved one is in danger, consider getting a power of attorney. A power of attorney is a legal document that grants you or another family member the right to act on behalf of another person. With this document, you can more easily control your loved one’s finances and keep them safe.

Dementia Care With Visiting Angels

Caring for a loved one with dementia is challenging, but it’s not something you have to do alone. And that’s where Visiting Angels can help. Our generous team of caregivers creates stable environments and routines for clients and assists with daily tasks like housekeeping, wandering prevention, and personal grooming. While financial assistance is not a part of our services, we make it possible for your loved one living with dementia to live a secure life and avoid risks by observing everyday behavior and habits.

Our dementia care is a lifeline for families across Prescott and the surrounding communities. Contact our Prescott office to schedule a complimentary consultation and learn more about our dementia care services.