June 7, 2023
Estate Planning
Alzheimer’s Awareness Month and Estate Planning: How To Prepare
Introduction
June is Alzheimer’s Awareness Month. According to the Alzheimer’s Association, more than 6 million Americans are currently living with Alzheimer’s disease, and this number is projected to increase to nearly 13 million by 2050. With these staggering numbers, it’s crucial to understand the importance of estate planning for individuals with Alzheimer’s disease and their families. In this article, we’ll discuss what Alzheimer’s disease is, how it affects estate planning, and the steps you can take to protect your loved ones.
What Is Alzheimer’s Disease?
Alzheimer’s disease is a progressive brain disorder that affects memory, thinking, and behavior. It’s the most common cause of dementia, which is a decline in cognitive function and the ability to perform daily activities. Alzheimer’s disease is caused by abnormal protein deposits in the brain that damage brain cells over time.
Symptoms of Alzheimer’s disease can include:
- Memory loss
- Difficulty with familiar tasks
- Poor judgment and decision-making
- Changes in personality and behavior
- Difficulty with language and communication
How Alzheimer’s Disease Affects Estate Planning
Alzheimer’s disease can have a significant impact on estate planning. As the disease progresses, individuals may become unable to manage their own financial affairs, make medical decisions, or communicate their wishes. This can lead to confusion, stress, and potential legal issues for both the individual with Alzheimer’s disease and their family members.
Here are some of the ways that Alzheimer’s disease can affect estate planning:
- Capacity to Make Decisions
As the disease progresses, individuals with Alzheimer’s disease may become unable to make important decisions about their finances, medical care, and other matters. This can make it difficult to create or modify legal documents such as a will, trust, power of attorney, or advance directive.
- Risk of Financial Exploitation
Individuals with Alzheimer’s disease may be at risk of financial exploitation, including scams, fraud, and abuse. This can be especially concerning if the individual has significant assets or is vulnerable to undue influence.
Alzheimer’s disease can be a costly illness, with long-term care and medical expenses adding up quickly. Medicaid planning can help individuals with Alzheimer’s disease and their families navigate the complex process of qualifying for Medicaid benefits, which can help cover the costs of care.
Steps You Can Take to Protect Your Loved Ones
If you or a loved one has been diagnosed with Alzheimer’s disease, there are several steps you can take to protect your family’s financial future:
- Start Planning Early
It’s important to start planning early, ideally before the disease progresses too far. This can help ensure that legal documents are in place and that your wishes are clearly communicated.
- Work with an Estate Planning Attorney
Working with an experienced estate planning attorney can help ensure that your legal documents are valid, up-to-date, and reflect your wishes. An attorney can also help you navigate the complexities of Medicaid planning and other legal issues.
A trust can be a useful tool for individuals with Alzheimer’s disease, as it allows for greater control over the distribution of assets and can help protect against financial exploitation.
- Talk to Your Family
It’s important to have open and honest conversations with your family about your wishes and plans for the future. This can help avoid misunderstandings and potential conflicts down the road.
Conclusion
Alzheimer’s disease can have a significant impact on estate planning, but there are steps you can take to protect your family’s financial future. By planning early, working with an estate planning attorney, considering a trust, and having open conversations with your family, you can help ensure that your wishes are respected and your loved ones are protected.
