What Does Financial Health Mean?
Financial Health is a term used to describe the state of one’s personal financial situation. There are many dimensions to financial health, including the amount of savings you have, how much you are setting away for retirement and how much of your income you are spending on fixed or non-discretionary expenses. Since each person is different and every situation is not the same, financial health for one person may not be defined in the same way for another.
Why Is It Important?
Financial Health is one part of overall wellness as defined by the Eight Dimensions of Wellness. Economic and financial issues, regardless of the amount of personal savings and securities one may have, can be a source of great stress and frustration, especially as we age. Even the most comprehensive accounting plans can become more difficult to manage as we age. At times, people may find themselves struggling to keep up with the amount of information needed to maintain good financial health.
How Should I plan?
Every person and situation is unique and there is not one strategy that works for everyone. There are good reasons to retain the services of a lawyer when preparing advance planning documents. For example, a lawyer can help interpret different State laws and suggest ways to ensure that the person’s and family’s wishes are carried out. It’s important to understand that laws vary by State, and changes in situation—for instance, a divorce, relocation, or death in the family—can influence how documents are prepared and maintained.
Legal, Financial, and Health Care Planning Documents
When families begin the legal planning process, there are a number of strategies and legal documents they need to discuss. Depending on the family situation and the applicable State laws, some or all of the following terms and documents may be introduced by the lawyer hired to assist in this process. Broadly speaking, these documents can be divided into two groups:
- Documents that communicate the health care wishes of someone who may no longer be able to make health care decisions
- Documents that communicate the financial management and estate plan wishes of someone who may no longer be able to make financial decisions
Advance Directives for Health Care
- Advance directives for health care are documents that communicate the health care wishes of a person. These decisions are then carried out after the person no longer can make decisions. In most cases, these documents must be prepared while the person is legally able to execute them.
Advance Directives for Financial and Estate Management
- Advance directives for financial and estate management must be created while the person with Alzheimer’s still can make these decisions (sometimes referred to as “having legal capacity” to make decisions).
The Importance of Legal and Professional Advice
When planning or seeking assistance with pre planned medical directives and financial and estate management documents, it is important and always advisable to seek out professional advice and counsel. Establishing such plans can be complex and may be a source of anxiety and frustration. Seeking out professional assistance may alleviate some of the stress and burdens associated with this process. Many local resources are available.
For information regarding local resources in Green Valley AZ, contact Connect at 520-393-6700, or seek out the providers listed within the Connect Green Valley application.