The Donald Family
Mr. and Mrs. Donald lived in their two-bedroom home for 55 years. Their adult son, Roger, moved in with them 15 years before they passed away to help care for them. He made monthly payments on their house, and consistently helped with other expenses.
After Mr. Donald died, Roger took care of his mother’s finances. When Mrs. Donald became ill and could no longer stay home alone, Roger took early retirement so he could care for her full time. Eventually, needing more specialized care, Mrs. Donald moved into a nursing home, where she stayed until her death 16 months later.
Neither of Roger’s parents had had an estate plan. Their savings were modest. When Mr. Donald died, his property passed to his wife. She didn’t have long-term plans in place, so Medicaid paid for the nursing home. When she died, her house was seized to repay Medicaid.
Though Roger had paid the mortgage for 15 years, he was forced to move out. Because he’d taken early retirement, he’d had little opportunity to save money, and didn’t qualify for a home loan. His parents’ lack of planning left Roger with no home and no assets.
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The Snowden Family
John Snowden was awakened in the middle of the night with the news that his parents had been in a car accident near their winter home in Florida. His mother had died instantly; his father was in intensive care.
John flew to Florida to see his father and to meet with his doctor. The doctor, however, wouldn’t discuss his father’s healthcare until John could produce a Healthcare Power of Attorney.
Among his parents’ papers, John found an unsigned Healthcare Power of Attorney. Attached to it was a note from the Snowdens’ attorney, asking them to come in to get the document signed and notarized. John had to petition the courts to be appointed Power of Attorney; his father died before his appointment. His father’s end-of-life wishes were not carried out.
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The Carlson Family
Mr. Carlson was a fairly well to do 82-year-old. He’d lived in the same large home for 40 years. His health was slowly declining, but he wanted to stay in his own home for the rest of his life.
Throughout the last decade, he’d talked to several tax advisors, financial advisors, and attorneys, but his documents were both out of date and held in various locations. He hadn’t documented his wishes to remain in his home, and he didn’t have a long-term care plan in place for doing so.
So, when he became too ill to care for himself, members of his church helped move him into a nursing home. Never married, his closest surviving family was a niece who lived several states away. His niece was his sole beneficiary. But several years in a nursing home consumed much of his savings. By the time his niece had sorted through his documents, paid attorney fees, and sold his house, her own investment of time was considerable, and the value of his estate had significantly diminished.