Advice and Resources to avoid investment scams

In a down economy, seniors and small investors become the likely victims of risky investments and financial scams. According to Metlife Mature Market Institute, senior financial abuse costs $2.6 billion annually. Seniors can avoid becoming just another statistic by arming themselves with information and resources.

• If it sounds too good to be true it probably is— One of the best questions a senior can ask is simply about the investment itself, questioning if the broker or product is registered with the state or national regulatory authorities. Be cautious of broker claims that their certificates of deposit (CDs) earn above average interest rates. Many companies trying to scam seniors will say the pay will yield much higher rates of return than normal.

• Be extremely skeptical of salespeople—Scammers target seniors by going door-to-door or pestering them with phone calls.

• Research, research, research—Check the U.S. Securities & Exchange Commission’s list found at www.sec.gov/investor/oiepauselist.htm of unregistered entities with consumer complaints. Also, make sure you do not agree to an investment without consulting family and friends.

• If you have been scammed, all is not lost—Financial crimes against seniors often go under reported, with seniors feeling ashamed or they do not know where to report the company. To file a complaint against a broker or firm, visit www.finra.org/complaint. Read about a seller’s background, at www.SaveandInvest.org or call 888-295-7422. For more on brokers or firms, call 800-289-9999 or log onto www.finra.org/brokercheck.

Source: ConsumerAffairs.com

Image Source: sxc.hu

Home Care San Marcos, New Braunfels, Schertz, Canyon Lake, Seguin. Call 830-624-8380.

If you are a senior, or a caregiver of an elderly loved one, you should be aware that there are many discounts available when traveling. While many seniors do have specific travel needs, there are often discounts when booking a complete travel package. The best way to find a good travel deal is to make use of a trusted travel agent. The agent will work with you to find the lowest possible cost for the trip, without sacrificing any personal preferences. The following list of tips will help prepare a trip and find the best price available.

1. Make sure to know personal preferences before contacting a travel agent. These requests should be made in advance. Some common requests for traveling seniors include aisle seats on airplanes, morning flights and non-smoking accommodations.

2. Be sure to deal with a travel agent directly. Many travel agents have personal assistants that relay messages. If possible, try to arrange to speak with the agent directly.

3. If there are time constraints, make sure to have a back-up plan. Use a calendar to plan for schedule changes. Often times, a change in time could mean a greater discount.

4. Inquire about car rentals and hotel rooms. Your travel agent may be able to book a complete package which would offer additional savings.

Source: www.ehow.com

Home Care San Marcos, New Braunfels, Schertz, Canyon Lake, Seguin. Call 830-624-8380.

If your parents are nearing their 50’s, it’s time to start discussing what their plans are for retirement. Be gentle, you don’t want to make them feel like you’re stepping in and taking over; but you do want them to feel like you’re looking out for their best interests and want to make sure they can live the retirement that they’ve dreamed of their whole working careers. Talk to your parents about their retirement wishes and about how they can plan for retirement, that way you can help make sure they’re on the right track.

1. Start early – talk to your parents about their retirement plans by the time they are 50…earlier is okay too, but don’t wait too long! However, if your parents are already retired, it’s not too late to have this conversation

2. Know their retirement goals – where do your parents want to live when they retire? Do they want to remain in New Braunfels? Do they want to travel? Do they want to take on any new hobbies or continue with old ones? This will help determine their financial needs for retirement

3. How much? – you might not feel comfortable asking your parents about their finances, but it’s important to know if they have saved enough to get them through their retirement, while still meeting their goals. Ensure you let them know that they can’t live on their Social Security Benefits alone; according to studies, these only cover about 40% of retirement living expenses

4. Check Social Security Benefits – although seniors can’t live on their Social Security Benefit alone, requesting to know how much they will receive can help with financial planning for retirement

5. Let them know early retirement might be a possibility – whether or not they hope to retire early, with the economy today, many people are forced to retire at an earlier age. Take a look at the industry that your parents work in; if they are in an industry that’s really being effected, it might result in early retirement

6. Discuss health care – knowing what your parents would want with regards to their health care is perhaps the most important so you know what to do if they are not able to speak for themselves. You can also encourage them to draft a living will, but make sure you know what they’d want with regards to senior services as well as health care

Via: Senior.com

Home Instead Senior Care San Marcos, New Braunfels, Schertz, Canyon Lake, Seguin. Call 830-624-8380.

When my mother was in her 70’s, we talked her into adding identity theft insurance to her home insurance policy, knowing that the chances she might be a victim of fraud were fairly high in the senior demographic. The policy offered by her insurance policy for identity theft coverage cost nearly $30 extra per month, but after careful research we decided the benefits were worth it. While fraud insurance doesn’t actually cover any financial losses at the result of identity theft, it does provide coverage relating to the recovery process that occurs after such a fraud has occurred, including lost wages and legal bills up to $15,000 per claim.

When choosing to get the identity theft insurance for my mother, I ensured that the whole family understood that we still can’t let our guard down when it comes to managing my mom’s affairs. The same precautions still need to be taken when reviewing her finances and handling important documentation to prevent identity theft and fraud; the policy is only an additional safeguard, but it doesn’t decrease her chances of becoming a victim.

I would recommend fraud insurance to all seniors provided the policy is affordable for their lifestyle and income level, and that appropriate coverage is available. Fortunately, while my aging mom has not yet been impacted by fraud, we know with the insurance, if it occurs, she will manage to recover from it.

Sources:
1. Spam Laws
2. Globe and Mail Joanna Pachner

Home Instead Senior Care San Marcos, New Braunfels, Schertz, Canyon Lake, Seguin. Call 830-624-8380.

Q – My father passed away last year, and my elderly mother will be responsible for completing her taxes on her own this year. As this is a financial responsibility her husband normally handled, she doesn’t feel prepared. Are there services available to help seniors with tax preparation?

Tax time can be an overwhelming time of year for many seniors managing their money and finances, especially those who find themselves taking over the financial responsibilities from a spouse who has passed away. In order to ensure that senior taxes are accurate and that seniors receive the maximum number of benefits available to them when filing their taxes, the AARP and other organizations are providing free tax preparation services under the IRS sponsored Tax Counseling for the Elderly (TCE program) to help the seniors, aged 60 and older, manage their money. The AARP tax preparation services for seniors are free at most tax sites, except for a few locations where they are subsidized. The income tax preparation assistance for the elderly can help seniors prepare a number of important tax forms like Form 1040, Form 1040EZ, Form 1040 Schedule A&B, and Form 1040 Schedule D, as well as provide additional complimentary income tax counseling services.

Sources:
1.    AARP Money
2.    Suite 101, Lena Gott

Home Instead Senior Care San Marcos, New Braunfels, Schertz, Canyon Lake, Seguin. Call 830-624-8380.

Prescription costs for seniors without healthcare and prescription coverage may find that their medication costs make up a substantial part of their daily living expenses, and during the recession an increased number of seniors may be choosing to go without their required medication to keep money in the bank.

According to a study completed by The Society of General Internal Medicine in 2001, pre-recession 8% of seniors were not taking some or all of their prescribed medication, as a result of the costs, when paying out of pocket without prescription coverage. With the Commonwealth Fund projecting that healthcare costs for seniors will be as great as $5,000 by 2011; funding medical and senior prescription costs is becoming increasingly more unaffordable for seniors without benefits living on a fixed income. During these tough recessionary times, many elderly people may be more fearful that their retirement income will not last; so they might be hesitant about taking on even necessary medical costs like prescriptions. According to Kenneth Schafermeyer, Director of Graduate Studies at the St. Louis College of Pharmacy “for some [seniors], it’s either eating, or paying the mortgage, or paying for healthcare” and that is an unfortunate reality of the economic situation today. Seniors are forced to make tough decisions that impact both their health and their livelihood.

Sources:  CourierJournal.com

Self-Restriction of Medications Due to Costs in Seniors Without Prescription Coverage

Home Instead Senior Care San Marcos, New Braunfels, Schertz, Canyon Lake, Seguin. Call 830-624-8380.