The great wealth transfer is taking place, but it’s not landing in the pockets of the supposed heirs.<\/p>\n
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Costly long-term elder care is putting a major dent in the trillions of dollars in wealth held by boomers that’s been earmarked for their Gen X and millennial children<\/a>.<\/p>\n Zach Hefferen wrote about the high costs of caring for his father, who struggled with dementia for over a decade. The memory care unit that his father ended up in cost $17,000 a month<\/a>, nearly wiping out his father’s entire life savings in the 16 months before his death.<\/p>\n As heartbreaking as Zach and his dad’s story is, it’s not necessarily unique. Boomers and their children are facing the staggering healthcare costs that come with aging. (If you’re going through this now, we want to hear from you<\/a>.)<\/p>\n It’s also an incredibly uncomfortable conversation to have. You don’t want your parents thinking you’re counting their money before they’re in the grave. But a surprise diagnosis or less-than-expected retirement savings can quickly turn their finals years into a recipe for disaster.<\/p>\n It’s not just the financial pain of paying for full-time help or a spot in an assisted-living facility. Sometimes it means stepping back from your career to care for an aging parent.<\/p>\n That responsibility typically falls on daughters, and it’s steep<\/a>. One estimate found that unpaid family care costs American women an average of $295,000 in lost wages and retirement savings over a lifetime.<\/p>\n BI’s Katie Notopolous also wrote about the terrifying so-called “millennial daughter tax<\/a>.”<\/p>\n For some, the solution to elder care is looking abroad.<\/p>\n Peter and Rita Millard have spent the past few years in a care facility in northern Thailand, a hotspot for retirees from around the world<\/a>. Peter told BI that living in the facility, where a resident’s average monthly cost is about $1,914, is an “insurance policy” for whoever gets left behind<\/a>.<\/p>\n Mexico has also proven to be a more affordable option for long-term elder care<\/a>. Costs for assisted living in the country averages between $1,000 to $2,000 a month.<\/p>\n Others have found strength in numbers, bringing multiple generations under one roof, a trend BI has covered extensively<\/a>. Multigenerational households can ease the financial pressures of childcare and eldercare.<\/p>\n