A guide has been launched aimed at people within the ‘sandwich generation’ that cares for their children and parents and focuses on protecting a retirement fund for long-term financial security.
A new guide has been launched aimed at people who are parents and must care for their children as well as their ageing parents. The retirement protection report from the Wealth Building Way team explains the difficulty of balancing the care and finances required in both situations while also planning for retirement.
Read the guide in full at https://wealthbuildingway.com/how-the-sandwich-generation-can-protect-their-retirement
The newly launched guide focuses on the sandwich generation, which is the term that has been coined to describe individuals of any age or status who are required to care for their parents and children at the same time. The report explains that handling the finances of two different generations can feel impossible at times.
Therefore, caregivers must prioritize their own financial needs say the team. They add that protecting a retirement fund during a difficult time means people will be able to retain their independence and financial security as they age. In addition, they will likely be in a better position to help their children through adulthood and offer continued support to their parents.
Retirement savings should be a priority for those members of the sandwich generation says the guide. It expands on this point by noting that while many people may want to focus on their children’s college fund, the problem with this thinking is that there are loans available for college, but there is no such thing as a retirement loan.
In addition, forgoing retirement savings during a person’s 40’s and 50’s means they will miss out on the long-term growth and benefits of compound interest. Utilizing all options available including using assets to pay for elderly care is one way to protect a retirement fund while also making the most of Medicaid.
Other aspects covered within the guide include communication, which can alleviate the pressure and financial burden many people within the sandwich generation feel, getting the right type of insurance such as disability and life insurance are key, as well as learning about social security and Medicare.
A spokesperson said: “Caring for your children and parents at the same time is exhausting. Do not compound the problem by thinking you have to make financial decisions all by yourself. Consider interviewing and hiring a financial advisor to help you make sense of the tough choices you are facing.”
To find out more, interested parties are invited to visit the link provided.