As a small business owner, you understand how important each of your employees is to the success of your enterprise. And often, the most valuable, experienced employees are in their 40’s and 50’s – just the group that’s also likely to be part of the “sandwich generation.”

So, what happens when one of your employees has an elderly parent who falls ill, and needs substantial care and support? Caring for an elderly parent, particularly while running a household that includes children or teenagers, can be incredibly taxing. And while most employees who find themselves in this situation don’t leave their jobs, they often reach a point where something’s got to give – and often, this means relying on their employer to help out with flexible work arrangements or other forms of assistance.

You know that having your own, personal incapacity plan is important, and you know that it’s essential to have a succession plan in place when the time comes for you to exit your business. But have you thought about how you, as an employer, would deal with the life changes that your employees encounter when they become family caregivers?

The National Caregivers Library provides a wealth of information and resources geared toward employers planning for just this situation. It’s worth a look.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

MetLife has released the MetLife Study of Elder Financial Abuse: Crimes of Occasion, Desperation, and Predation Against America’s Elders, and it contains some pretty eye-opening findings.

For instance, did you know that women are twice as likely as men to be victims of elder financial abuse and that most victims:

• Are in their 80’s
• Live alone
• Need some form of help with health care or home maintenance

In the vast majority of cases studied, two factors seemed to combine to make victims particularly vulnerable to every type of perpetrator, from close family members to career criminals. First, the victims valued their independence but that independence was shaky. Second, the victim’s vulnerability was obvious; their mobility was limited, they lived alone, or they had periods of obvious confusion.

So, what can you do if you have a friend or loved one that fits this profile? First and foremost, be alert and aware of signs that something is amiss. It’s also important to make sure that an elderly loved one does not become isolated. Stay in touch, visit often, and encourage that person to stay as socially active as possible.

If you suspect abuse, you can go to www.txabusehotline.org or call 1-800-252-5400.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

The specter of long-term care looms large for many people. Whether or not you’re facing an immediate need for nursing home care or assisted living, it’s likely that some form of long-term care will be a reality for you or a loved one at some point during your lifetime.

Like so many other topics that are related to elder law and estate planning, long-term care is tough to think about. For one thing, no one looks forward to losing their health, not to mention losing some degree of control over their day-to-day lives. And then there’s the question of how to pay for long-term care. A private room in a nursing home can cost thousands of dollars a month, a figure that can make a significant dent in even the healthiest nest egg. When you’re faced with all the possibilities, and the sometimes-unpleasant realities, it can be easy to become frozen, and not plan at all for the possibility of long-term care. This is a mistake, especially since the earlier you plan, the more options are available to you.

For example, if you plan early enough and if your income allows it, a long-term care insurance policy might be the way to go. Generally speaking, the younger and healthier you are when you purchase the policy, the lower your premiums will be. Long-term care insurance can go a long way toward defraying the costs of care, and the right policy can offer you a variety of options when it comes to the types of care available to you.

If long-term care insurance is not the right choice for you, your elder law attorney may be able to assist you in qualifying for Medicaid benefits so that you can afford nursing home while still preserving a portion of your assets to pass on to your spouse, children, or grandchildren.

One of the keys to Medicaid planning, as with long-term care planning in general, is to start early so that you have expanded options available to you. However, if you’re faced with an urgent situation or you have not been able to plan in advance, a qualified elder law attorney can likely help you uncover options for balancing long-term care bills with the preservation of your hard-earned savings.

In fact, no matter where you are on the long-term care planning timeline, an experienced elder law attorney can help you explore all the possibilities available to you, and assist you in putting together an effective plan.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

A lot of estate planning advice focuses on the steps you can take to protect and provide for your spouse and children, while minimizing your tax burden. But what about taking care of your mom and dad? Many adult children are in a better financial position than their elderly parents, and want to know what they can do to share the fruits of their labor. Here are just a few suggestions:

• Give Gifts: Under the current federal gift tax law, you can give up to $13,000 in money or property  to an individual recipient annually, without triggering the need to file a gift tax return, and without dipping into your lifetime gift tax exemption ($5 million for the years 2011 and 2012). If you’re married, you and your spouse can combine your annual exclusions and give $26,000 to each of your parents.
• Pay Medical Bills: If your parents are unwilling to accept cash from you,  it might be helpful to pay their medical bills for them. As long as you make payments directly to the doctor or medical facility, the medical bills you cover on your parents’ behalf are not subject to gift tax. Plus, if the medical bills you pay on your parents’ behalf exceed 7.5% of your Adjusted Gross Income, you can claim those expenses as an income tax deduction. Of course, the IRS determines what constitutes an acceptable medical expense, and you’ll want to check with an estate planning attorney or your financial advisor to make sure you’re following the rules.
• Establish a Trust: There’s also the option of establishing an irrevocable trust, and naming your parents as beneficiaries.  You can serve as trustee, and use the trust to provide your parents with financial assistance, or even provide a home for them.

Your estate planning attorney can help you figure out the best strategies for providing your mom and dad with financial help while minimizing your tax burden.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

An increasing number of adult children – more than 2 million here in Texas – are caring for their elderly parents and, while few of them would complain about helping their parents in this way, the costs to these caregivers can be significant. Many caregivers reduce their employment hours and experience pay cuts in addition to expending money out-of-pocket to meet their parents’ needs.

On the other side of this scenario are elderly parents who recognize the impact of the services their care giving child provides, and who also may need to spend down assets in order to qualify for Medicaid or to meet other estate planning goals. A good solution for some of these families is a caregiver agreement.

Q: What is a caregiver agreement?

A: A caregiver agreement is a contract between an elderly parent and the child who is caring for him or her, pursuant to which the child is compensated for the services he or she provides to the parent.

Q: How do you decide on compensation?

A: Compensation for a caregiver depends on a number of factors, and arrangements vary from family to family. Factors to consider include the exact services the child provides and the value of those services, the financial status of the parent, and the needs of the care giving child.

Q: What are the options for paying a caregiver?

A: Arrangements for paying a caregiver should be made in a way that works for you and your family. Some families opt for an hourly wage arrangement, others choose a weekly or monthly salary, and still others arrange for a caregiver to be compensated in the form of a larger inheritance.

Q: What types of information should be included in the agreement?

A: A caregiver agreement should be very carefully written and should include, among other things:

• A “job description” for the caregiver that spells out what services will be provided
• Provisions for respite care or other “breaks” for the caregiver
• If applicable, a doctor’s statement detailing the type of medical care needed, as well as the value of that care
• The amount of compensation to be paid, as well as the form of payment and a payment schedule
• Most importantly, a caregiver agreement should be in writing.

Q: Who should know about a caregiver agreement?

A: A caregiver agreement should be shared with the larger family so that there’s transparency when it comes to both the services being provided by the child and the payments being made by the elderly parent. Openness about the agreement can go a long way toward avoiding family conflict, and may even help to avoid estate litigation.

In order to make sure that your caregiver agreement functions the way that you intend it to, it’s a good idea to consult with an experienced elder law attorney in formalizing the agreement.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

Of all the uncomfortable things you have to talk to your parents about through the years, probably the toughest is their money. Yet, as your parents age, conversations about their money tend to become more and more necessary. This is especially true as the end of 2010 approaches, and the reality looms that – unless Congress makes a change – the estate tax will return next year with a only a $1 million exemption and a 55% top rate.

As an adult child of aging parents, this unprecedented situation with the estate tax can leave you in a tricky situation. On the one hand, it’s you want to make sure your parents are up-to-date on the status of the law; lack of knowledge can lead to unintentional and unnecessarily large payments to the IRS. On the other hand, especially if your parents consider finances a taboo subject, you don’t want to pry – and you certainly don’t want to look like you’re angling for a larger inheritance, or an immediate handout. Here are a few ideas for starting a conversation on the estate tax:

• Bring up current events. The estate tax has been prevalent in the news this year. From George Steinbrenner’s death to speculation over what Congress will do, there are plenty of news reports and blog posts you can refer to as a way to bring up the topic with your parents.
• Talk about your own estate plan. Be the first one to open up, and discuss your concerns.
• Suggest a meeting with an estate planning attorney. Especially if your parents haven’t reviewed their estate plan in awhile, this may be the time to get some updated advice.
• Don’t be greedy. If you don’t want to look greedy, make sure you’re not greedy. Remember, your parents’ money is theirs – not yours. And as much as you might disagree with their financial decisions, as long as your parents have the mental capacity to make those decisions, what they do with their money is up to them.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

Did you know that senior citizens control more than 70 percent of the wealth in America? Combine this with the fact that, as we age, there’s an increased chance that we’ll suffer from dementia or other forms of mental decline, and it becomes obvious why the financial abuse of the elderly is such a problem.

The financial elder abuse can take a number of forms. It can be simple and straightforward such as a caregiver taking a ring from a jewelry box or forging a check. It can involve the transfer of property against an elder’s will. It can also take the form of a convoluted scheme to defraud an elderly person of large sums of money.

The abuse can be committed by any number of people, although those closest to the victim are most often the perpetrators. Spouses, children, close friends, and paid caregivers have all been known to take advantage of the elderly for their own financial gain. On the other hand, there are the infamous scams organized by telemarketers and service providers who intentionally take advantage of the elderly.

How can you identify financial elder abuse? Here are a few common signs:

• Unpaid bills;
• Unexplained bank withdrawals or transfers;
• Sudden reluctance to discuss routine financial matters;
• A caregiver who seems preoccupied with the elder’s financial matters;
• A caregiver who seems to dominate the elder – speaking for him or her, always at the elder’s side;
• An elder who suddenly becomes withdrawn or much less sociable.

The best cure for any kind of abuse is prevention. That’s why it’s essential that elderly loved ones aren’t allowed to become withdrawn and isolated. If at all possible, an elderly person should have as many visitors as possible – family members and friends should visit frequently, and at different days and times.

Abuse thrives in situations where watchful eyes are not present. That’s why it’s important to know the warning signs of financial elder abuse, be familiar with your loved one’s caregivers, and watch for signs that something might be amiss.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

It’s the last thing many of us expected to be doing, and yet as our population ages, more and more of us find ourselves as the primary caregivers for our elderly parents, often before our own kids have even left the nest.

While most of us are happy to take care of our parents, the job can be grueling and exhausting and –let’s face it – thankless. Here are a few tips on how to cope.

• Don’t forget to take care of yourself. Of course, it’s important to get enough sleep. It’s also essential to spend an hour every day doing something you enjoy. This time is necessary for you to de-stress and maintain your mental and physical health; otherwise, you won’t be able to keep up your care giving duties for very long.
• Take advantage of respite care. Find out where the respite care services in your community are located, and use them. Every few months, it’s important to have a break for a few days. If money is an object, investigate your parent’s Medicaid benefits. You’re entitled to have a respite caregiver relieve you periodically.
• Enlist the help of siblings, and even close family friends. Don’t feel that you have to do it all alone.
• Look into adult daycare – this service can provide you much-needed relief, while expanding your mom or dad’s social life and generally reducing everyone’s stress.
• Join a support group for caregivers.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

Nursing home abuse continues to be a growing problem in the States. But even when abuse is suspected, many patients hesitate to report it because they fear the abuse may get worse. Other patients aren’t able to speak out on their own behalf, due to physical and/or mental disabilities.

So, how can you tell if your loved one is being abused?

Some physical signs of nursing home abuse include:

• Any type of unexplained bruising, burns, broken bones, etc. When you notice these injuries they may be in the process of healing, so they might not be immediately obvious.
• Bedsores and frozen joints are a sign of neglect.
• Signs of sexual abuse include unexplained sexually transmitted diseases, injured vagina or anal tissue, underclothes that are bloody or have bloodstains.
• Your loved one has an unexplained shift in behavior
• When you go to visit your loved one the staff does not allow visits or delays visits.
• Your loved one appears like they are in an overmedicated state much of the time.
• Personal possessions that go missing
• There are sudden large withdraws from their bank accounts, or they begin using money in ways that are abnormal for them.
• You find that there has been a change in their will

These are all warning signs that your loved one may be suffering from abuse or neglect; if you notice any of the above signs, you will want to contact someone to investigate as soon as possible.

Some additional signs to look for include:

• A strong odor of urine in your loved one’s room
• The person appears to be suffering from malnutrition or dehydration.
• Has an unkempt appearance and poor personal hygiene
• Medical conditions that are not being treated

Along with physical abuse and neglect, there is also a danger of emotional abuse. The signs to watch for concerning emotional abuse include:

• Fear and agitation
• Depression
• Behavior changes
• Does not communicate
• Disorientation and confusion
• Staff making rude and demeaning comments to resident

Remember, you are your loved one’s main defense against abuse and neglect when they are in a nursing home. Visit your loved one on a frequent basis and watch for signs. If you do suspect abuse, have the situation investigated immediately and remove them from the facility.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

Although you might no longer live at home, you still have rights as a nursing home resident. Unfortunately, many seniors either aren’t aware of these rights or don’t understand what to do when these rights are infringed. Here’s just a few of the most important rights you or your loved one is entitled to.

Rights Regarding Personal Freedom

As a nursing home resident you have the right to your own personal freedom. This means you are afforded the same rights every other citizen has in their home. You have the right to privacy. No staff member or visitor can invade your space without your permission. You also have the right to make your own choices such as what clothing you wish to wear and how you wish to spend your time. You may participate in any nursing home or community activities that you desire or you may choose not to. As a resident you also have the right to confidently. A staff member may not share your information with any other person without your consent.

Rights Regarding Medical Care

Nursing home residents may require regular medical treatment. Nurses are always on duty and doctors are readily available in case of an emergency. As a nursing home resident, you have the right to be informed of all aspects regarding your medical condition and to make your own medical decisions if you are of sound mind to do so. You can choose your own doctor and dictate what forms of treatment you will accept. If a doctor has deemed you unable to make your own medical decisions, you have the right to have a loved one oversee your health care.

Rights Regarding Personal Safety

It is with hope that your nursing home environment is filled with loving and caring staff members. You should, however, be aware that the law protects your from mental and physical abuse. If any occurs, report it immediately. You also have a right to make a complaint about any aspect of your nursing home experience without fear of repercussions from any staff member, other resident, or outside individual.

If you believe your rights or those of a loved one have been violated, contact our office today.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.