End-of-life care can be expensive. Medicare, Medicaid, and private insurance typically pay for medically necessary aggressive and hospice care, but there can be additional costs. Sorting out these costs and insurance reimbursements after a loved one’s death can be quite challenging.
After a spouse’s death, there may be additional financial concerns. A surviving spouse may face fixed household costs with a lesser family income. Life insurance can help the surviving spouse continue living in the same home, but this may be a short-term solution.
Some spouses face a quite different situation. The surviving spouse has never managed the household funds and investments, and now that person is faced with confusing accounts and investments that they do not know how to manage.
Planning ahead on your part can ensure that loved ones are not faced with these overwhelming financial decisions following your death.
It is never too early to have a plan in place for such issues as hospice care, funeral expenses, life insurance, and investment management.
In addition to your own financial planning, you may want to complete a Power of Attorney. A Power of Attorney is a written document in which you appoint someone you trust to act on your behalf. Most people associate a Power of Attorney with healthcare matters, but a Power of Attorney can also be prepared for financial matters.