Caregiving? How to keep your financial goals on track

(NC) Women in the “sandwich generation” are used to putting others first. Whether it’s helping their parents navigate retirement or supporting their children through university, they often find their own financial goals taking a backseat.

But when you’re sandwiched between two generations, it’s crucial not to lose sight of your own financial future, says Louise Fry, a senior investment advisor at TD Wealth.

Caregiving still typically falls to women

According to Statistics Canada, 8.4 million women in the country are providing care to children or dependent adults, including 23 per cent who provide unpaid care to adults with long-term conditions and disabilities.

On top of that, children are staying home until they’re older and parents are living longer, so the length of time and the care required by these two groups continues to increase. The best way to handle the stress that can accompany these years is to plan for them, says Fry.

“I think planning discussions are pretty much the foundation of what we do,” she explains. “I would encourage clients to not shy away from taking a deep dive into their financial picture. And, to the extent that older parents are willing to share, get a clear picture of their circumstances because so many things are coming down the pipeline.”

Talk it through, then act on that plan

Once you’ve had those initial conversations, it’s time to move into the concrete planning stage, which can involve accountants, lawyers and other professionals. Tax-efficient wealth transfers, proper estate planning and insurance needs are just some of the topics that are often top of the list in these planning discussions.

To get the most out of any planning discussions, it’s helpful to come in with questions, which can come from all areas of life. Some common ones are: If my parents need sudden medical support, how will that impact my savings plan? Should I consider transferring ownership of certain assets now to minimize future tax burdens? What strategies can I use to financially support my children without jeopardizing my own security?

It is also important to keep your own financial goals, like retirement, in mind. Make sure to schedule these discussions with your financial advisor annually to stay on track.