As people get older and their cognitive skills begin to decline, often one of the first skills to go is the ability to effectively manage household finances. For many seniors, this is a hard thing to admit. Managing their own money gives them a sense of independence and control. And yet, if they are not able to do it adequately, it can also put them in a perilous position. Bills may go unpaid. Scammers may take advantage of them. Life savings may be lost.

In most cases when elders need help managing money, their adult children step in. But this can be a burden for adult children with busy lives of their own, or who live some distance from their aging parents. And, in some cases, elders have a hard time turning over the financial reins to their children – even though they’re adults – because it means giving up the role of parent and caregiver.

This is where a Daily Money Manager (DMM) can help. A DMM works with the senior and any involved family members to provide support in managing and organizing the day-to-day financial responsibilities of the household. This may include routine tasks such as paying bills, preparing checks for signature, making bank deposits and filling out paperwork, such as filing claims for Long Term Care insurance. Because of my background, in my practice as a DMM I also include more complex tasks like household payroll for caretakers and other service providers, management of contract workers, creating planning scenarios for families (to determine if mom or dad will outlive their money), reducing cost of care, and advocacy with insurance companies and creditors.

I see my role as a DMM as being three-fold:  An advocate, who protects seniors from scams and fraud, informs the elder about available community resources, and provides information and application assistance for benefits he or she is entitled to; a debt manager, who helps negotiate with creditors; and a financial organizer, who manages  the bills and household budget, and establishes a record keeping system to capture relevant documents for tax preparation at year end. I also review bank and credit card statements looking for signs of abuse or fraud – such as large, unexplained withdrawals of money, an excessive amount of checks written to charities or other groups, or any other suspicious activity.

A common thread among some DMMs is the experience of caring for an elderly loved one’s financial well-being. In my case, in addition to helping my parents, I’ve leveraged my education – engineering degree and MBA, 30 years of experience in the corporate world, and certifications in dementia care coaching, to build a business helping seniors and their families navigate the day-to-day activities of managing their household finances.

The greatest value I provide is the peace of mind for adult children or others who are caring for their aging loved ones from a distance. If you know of someone who could use the help of a Daily Money Manager, please let me know. If I can’t help them directly, I can put them in touch with my network of Daily Money Managers across the country!