In a recent article from the Globe and Mail, Maili Wong was asked how financial advisors are handling an increase in clients seeking guidance on supporting their aging parents.
Click here to find out what Maili had to say on the topic:
Maili says her practice has started to have more of these conversations with clients, particularly those whose parents are now in their 70s and 80s and may require home care or admission to a long-term care facility.
“Exacerbating that is the pandemic,” Maili notes. “That took a toll on the mental, physical and emotional well-being of folks. I do see the need for advice for clients who are taking care of their parents financially and emotionally as well.”
Maili points to life insurance, which she says can be a useful tool to give the client financial flexibility to support their parents and be replenished later with a tax-free lump sum after both parents have passed. Life insurance can also act as an equalization strategy between siblings who can’t contribute at the same level, she adds.
Maili also often helps the parents of clients invest the proceeds of the sale of their home into a diversified portfolio that pays out a monthly cash flow geared toward their needs – whether that’s to help pay for renovations on their child’s home, or to cover the cost of a retirement home or assisted living facility.
