How to Prepare and Help Manage a Loved One’s Household Bills
Written by guest: SilverBills
As a caregiver, you may be asked to help manage a loved one’s household bills to ensure timely payments and avoid late fees or termination of services. Staying organized and making sure you have the necessary documents will be important to help manage household bill payments. This will ensure that bills will be paid properly, accurately, and on time. The care recipient may be hesitant to share control and details pertaining to their sensitive and private information, so approaching this topic should be done with patience, compassion, and care.
Caregivers should keep an eye out for certain signs of diminished financial capacity. “Diminished financial capacity” is a term used to describe a decline in a person’s ability to manage his or her money and/or financial assets. As a person loses his or her ability to manage his or her finances, he or she may become more vulnerable to financial fraud or other forms of elder financial abuse. While your loved one is still able to do things like sign paperwork and write checks, it may be beneficial to be added on his or her bank account for future access to make decisions related to bill paying.
If you have a parent, friend, or loved one with worsening diminished financial capacity, it would be beneficial to have an open conversation about finances and bills sooner rather than later. Ask the care recipient to consider advance planning to make sure that he or she can get help and direct a trusted person to make decisions if he or she no longer can.
Warning signs of diminished financial capacity:
Forgetting to pay bills.
Paying late fees with late bill payments.
Paying the same bill several times.
Misplacing financial documents.
Falling for scams.
Lack of judgement about financial spending and monthly budgeting.
Important legal documents:
Power of attorney.
Trust documents.
Insurance information and medical cards.
Important financial documents:
Household bills .
Insurance premiums.
Utility bills.
Home health aide bills.
Medical bills.
Rent bills.
Mortgage payments.
Tax payments.
Cell phone bills.
HOA fees.
Bank information/bank statements.
Online login credentials and passwords or pins.
Credit report (optional, can be obtained online).
While you have a conversation about these sensitive topics, it would be useful to also compile a list of important contact information for other financial or medical professionals such as health aides, accountants, attorneys, medical doctors, and facilities.
Once you have received all necessary documents, then it is time to create a plan of action.
Talk to the care recipient about his or her bills with compassion and care:
Ask how much he or she typically pays on each bill.
Ask what the monthly average should be on the bill.
Ask if the bill is a re-occurring expense or a one-off bill.
Create a monthly timeline indicating when bills are due.
Establish a monthly budget (income versus bill obligations and life expenses).
Does the care recipient make monthly donations to charities? Does the care recipient send those via check?
Does the care recipient work with an accountant or financial manager?
Does he or she want any other trusted contacts to have this information?
It is beneficial as a caregiver to do an independent review of financial accounts to review if any mistakes were made managing finances, or if there are any signs of elder financial abuse such as repeat payments to an unrecognized person or company. Be alert to sudden changes in investments, unusual checks written to individuals, or frequent ATM withdrawals that may not seem common.
Managing household bills may be a stressful responsibility for a caregiver. Some caregivers also do not wish to mix family and finances and would prefer to outsource the responsibility to a third party. If you prefer to outsource bill paying, you can enroll in SilverBills, a household bill management service that is recommended by AARP. Founded by Marci Lobel-Esrig, CEO and General Counsel, SilverBills has developed a proprietary bill management software solution. Combining the technology solution with highly trained personal account managers, SilverBills helps manage finances and household bills for clients who are not internet-fluent or who want to outsource this chore to professionals. Clients are not required to use a computer or have a digital presence to utilize the SilverBills service. Operating throughout the United States, SilverBills works with individuals and their families and caregivers to facilitate aging in place securely.
Marci Lobel-Esrig was inspired to start SilverBills after learning about the one billion dollar elder financial exploitation crisis in the U.S., as well as seeing her elderly aunt struggle to manage her household bills. “SilverBills is a high tech solution to household bill management, empowered by professional account managers whose activities are monitored using robust A.I. fraud detection, and audited by licensed CPAs. SilverBills helps individuals outsource the job of managing household bills to trusted, vetted professionals with whom they can form personal relationships." SilverBills also works with health care providers to facilitate financial well-being, which is a social determinant of health. Lobel-Esrig adds, "Through our monthly budgeting and guarantee of on-time payment of all bills, we increase financial well-being, leading to better health outcomes among our clients."
Reporting suspected elder abuse
To report suspected elder abuse in general, locate the appropriate adult protective services agency by calling the Eldercare Locator at (800) 677-1116, or www.eldercare.gov.
Elder financial abuse often violates one or more criminal laws. To report it, contact your local police or sheriff.
Additional resources
Financial Protection for Older Americans of the Consumer Financial Protection Bureau (CFPB).
The U.S. Department of Justice’s Elder Justice Initiative (including the page on victim and family support).
