The first thing to do is to talk to your parents about their financial affairs. This may be difficult. Not only is the topic unpleasant, but most parents are reluctant to share their private affairs, even with their children. But persevere. You need to know the names of their lawyer and accountant and details of their bank accounts and insurance policies. Do they have a will, and if so, where is it? If they’re still fit, encourage them to make up a list of the details for you. If not, you’ll have to assemble it with their help. But don’t delay. A sudden accident or illness could leave them physically or mentally impaired, and you’ll have to hunt through their records to find the information.
Once you know their financial picture, you can start to fill in the blanks. At a minimum they should have a will, and you should have a durable power of attorney allowing you to act for them if they are disabled. Encourage them to set up a living will, giving directions for their medical care. Review whether their retirement income and savings are sufficient, especially if they might eventually need nursing home care. Assess whether long-term care insurance makes sense for them. Check out whether Medicare or Medicaid might help.
These steps are just the beginning, but dealing with them now can make caring for your parents in the future much easier.
Dan established Gilliland and Associates, P.C. in 1987. For two decades the firm has offered a broad range of services to a diversified group of clients in many industries and businesses including real estate, personal and professional services, international trade, and nonprofit organizations.
As president of Gilliland and Associates, Dan provides his clients with extensive expertise and consultation in tax planning, corporate and personal taxes, coordinating and performing certified audits, IRS audits, and representation before the IRS.
Dan occasionally contributes articles to various business publications and is a sought after speaker for professional groups and organizations. Dan received his Bachelor of Science Degree in Accounting from the University of Maryland in 1984, graduating Cum Laude with academic distinction. He received his CPA in May of 1985 after his first sitting, and is licensed in Virginia and Maryland.
An active member of Toastmasters International, Dan has served two terms as his chapter’s President. He has also served one term as Area Governor of Toastmasters and one term as Division Governor of Toastmasters. Dan is also a member of Business Networking International’s (BNI) Herndon Business Exchange where he serves on his chapter’s membership committee. He is a member of the Virginia Society of CPA’s and a member of the American Institute of Certified Public Accountants. Dan is the president of the McLean Hills Condominium Association, serving on their board of directors for the last fifteen years.
