1. Acting as a Responsible Financial Caregiver 1

2. What a financial caregiver does Types of financial caregiving Financial caregiver challenges 2 What We’ll Discuss

3. Assists with managing finances, from routine to complex Recognizes and responds to signs of reduced financial capability Plans for future financial needs Establishes relationships with banker, other professional advisers and family members 3 What a Financial Caregiver Does

4. Are financial records organized and secure? Is there an up-to-date list of assets and debts? Are financial transactions streamlined? Is health and other required insurance in force? 4 Questions to Ask

5. Failing to pay bills, cash checks Not taking required minimum distributions (RMDs) Leaving valuables in plain sight 5 Recognizing Danger Signs

6. Evolving physical limitations, such as failing eyesight or reduced mobility Evidence of vulnerability to scams, such as being overly trusting Undue influence of new “best friend” 6 More Evidence of Need

7. Each relationship is unique because of dynamic between caregiver and receiver Caregiver’s role may be informal, at least initially Legal authority required if senior is unable to manage affairs 7 The Financial Caregiver

8. Updating will and beneficiary designations Signing advance directive and power of attorney for healthcare Providing for third party notifications 8 Actions to Encourage

9. Financial caregivers are fiduciaries, with a duty to act in the senior’s best interest – Manage money and other assets wisely – Eliminate unnecessary costs – Be alert to signs of scams or identity theft that put senior’s assets in peril 9 Financial Caregiver as Fiduciary

10. TypeCaregiverCare Receiver Power of AttorneyAgentPrincipal Living TrustTrustee Grantor, and usually beneficiary Federal Fiduciary Representative Payee (SSA) or Fiduciary (VA) Recipient of Federal benefits 10 Different Financial Caregiver Roles

11. Authority begins when principal designates Encompasses powers the principal grants in a legal document If it’s a durable power, authority continues after principal is incapacitated Authority ends when power is revoked or principal dies 11 Power of Attorney

12. Consult with bank and other financial institutions to facilitate actions Manage bank and other financial accounts prudently and maintain accurate records Confirm that all benefits are being received Evaluate and plan for principal’s current and future financial needs File periodic reports with Veterans Affairs and/or Social Security Administration 12 Responsibilities as Agent

13. Authority based on being named as trustee or co-trustee of trust Control applies only to the property in the trust Authority continues after the death of the trust creator, or grantor Grantor can revoke trusteeship or add a co-trustee The grantor can also be the trustee 13 Trustee of Revocable Living Trust

14. Protect and manage the trust’s assets for the grantor’s benefit Respect grantor’s wishes Distribute assets as directed in trust document 14 Responsibilities as Trustee

15. To manage federal benefits, appointment as representative payee required Authority covers only the specific benefit If beneficiary is in nursing home, institution may be payee 15 Federal Fiduciaries

16. Open dedicated, correctly titled, bank account Use payments in beneficiary’s best interest Keep detailed records File annual report on how benefits were used Report changes in beneficiary status 16 Responsibilities as Payee/Fiduciary

17. Learn the rights and restrictions that apply to your role or roles Keep careful records Seek professional advice when you’re not sure what to do 17 Be Prepared

18. Attend meetings with banker, financial advisers, tax preparers Review and suggest updating beneficiary designations if appropriate Stay up to date on changes in the laws affecting seniors Be attuned to changes in financial ability and take appropriate action 18 Be Proactive

19. Be alert to potential victimization Confer with bank about account activity Consult an elder law attorney Contact local Adult Protective Services, National Center on Elder Abuse 19 When You Suspect a Problem

20. Having to resolve complicated situations Making potentially hard decisions Risk of alienating siblings and other beneficiaries Potential conflicts with other caregivers Evolving relationship as senior’s needs change Balancing time needed for caregiving with other commitments 20 Financial Caregiver Challenges

21. Be sensitive to senior’s desires and needs— which are not always the same Be assertive without overstepping Demonstrate competence and integrity Respect senior’s independence as long as possible 21 Earning a Senior’s Trust

22. Collaborate on establishing appropriate fiduciary accounts Provide guidance on decision making Monitor account use Provide alerts to potential fraud 22 How The Bank Can Help