Financial Matters - For The Caregiver: Alzheimers
Content provided by the Faculty of the Harvard Medical School
Financial matters
Eventually, someone must take over the mundane task of paying bills and managing the financial affairs of anyone with Alzheimer's disease. If you don't already have access to all bank and investment accounts, you'll need a durable power of attorney that authorizes banks and brokerage firms to add your name to the person's accounts (see "Legal competence"). The wording of joint accounts matters; an account for "John Smith and Mary Jones" may require both signatures on all transactions, while either person's signature would be sufficient were the account for "John Smith or Mary Jones." Make sure that only one signature is required to avoid problems when the individual becomes incapacitated.
Stories of people with Alzheimer's disease giving away money to strangers, ordering expensive items, paying shady contractors for unnecessary repairs, and hiding large sums of cash around the house are all too common. To prevent a financial disaster, the spouse or another trusted individual should take control of the person's checkbook and credit cards as soon as the person's judgment is faulty. A financial planner may be able to offer guidance and assistance.
Seeking financial assistance
You need to evaluate assets, income, and insurance coverage and to determine whether the person in your care is eligible for benefits provided by Medicare (see "Medicare coverage for Alzheimer's disease"), Medicaid, the Department of Veterans Affairs, or other agencies. Caring for someone with Alzheimer's disease can be costly, and the family may face major decisions — for example, whether to sell the home or transfer assets to other family members. Some of these decisions can be postponed, but you should become thoroughly familiar with the family's financial status and be prepared to move quickly should the need arise.
Medicare coverage for Alzheimer's diseaseIn the past, Medicare automatically denied coverage for certain medical services for people with Alzheimer's on the grounds that treatment wouldn't yield any improvement. Typically, these services were covered for other Medicare beneficiaries, but not those with Alzheimer's or another dementia. This situation changed in 2001. Now, people with Alzheimer's disease who are eligible for Medicare can be reimbursed for many services, including mental health care, occupational or physical therapy, speech therapy, and some home health care. The policy change underscores that individuals with Alzheimer's disease can benefit significantly from these therapies. Many advocates believe that the coverage may enable people to live at home longer. For example, occupational therapy may improve a person's ability to dress or bathe himself, while physical therapy may steady a wobbly gait. Now, families who are interested in pursuing these services for a patient might not have to shoulder all the costs. To find out more about Medicare coverage, call the Centers for Medicare & Medicaid Services at 877-267-2323 (toll free) or 410-786-3000, or go online at www.cms.hhs.gov. You'll find information, publications, and forms for Medicare and Medicaid on the Web site. |
| Last updated: | January 23, 2007 |
|---|
Medical content reviewed by the Faculty of the Harvard Medical School. Harvard Health Publications, Copyright © 2007 by President and Fellows of Harvard College. All rights reserved. Used with permission of StayWell.
This information is not intended to replace the advice of a doctor. By using AOL Body, you indicate that you have read, understood, and agreed to our Terms of Service, Use of Content Agreement and AOL Body Advertising Policy. Read more about our content partners.
Search
Related Articles
Where Does it Hurt?
If you're experiencing aches and pains we can help you find answers. Find out what your symptoms mean for your health.
