Today is National Caregivers Day, which highlights those who provide personal care and physical and emotional support to those who need it most. While caregivers can play many different roles in someone’s life, many times, it comes to family members to take the role of being a financial caregiver for the older adults in their life. Supporting a loved one financially requires compassion and practical planning. If you’re a caregiver helping manage finances, these steps can provide guidance for keeping their financial health secure.

Foster Open Financial Communication

Start with an honest, ongoing conversation about their finances. It may feel uncomfortable at first, but regular discussions can help create transparency and trust. Familiarize yourself with their income sources, debts, monthly expenses, and the location of essential financial documents, like bank and insurance information. Consider setting up scheduled check-ins to track any changes in their financial situation as needed.

Simplify and Organize Accounts

Help them simplify their financial accounts by consolidating wherever possible. Multiple accounts, credit cards, and investments can become overwhelming, so streamlining can prevent confusion and minimize missed payments. Set up automatic deposits for income and payments for recurring bills. A more organized financial setup not only eases daily management but also helps you monitor their accounts for any unusual activity.

Stay Alert for Fraud and Scams

Older adults are often targeted by scammers, making vigilance essential. Educate yourself and your loved one on common scams, such as impostor calls or fraudulent emails. Consider setting up notifications or alerts on their accounts to help detect any unusual transactions early. Also, encourage them to avoid sharing personal details over the phone or online unless it’s through a secure, verified platform.

Monitor Accounts Regularly

In addition to account alerts, consider regularly reviewing your loved one’s bank and credit card statements, as well as their credit report. By consistently monitoring their accounts, you can spot any unauthorized charges, new accounts, or suspicious transactions early. This proactive approach could protect them from identity theft and give you both greater peace of mind. If needed, set up online banking access to stay informed about their account activity.