Cost of caring for an elderly parent

When mommy moves in

By Gail Vaz-Oxlade on November 5, 2013
Estimated reading time: 3 minutes

You’ll likely spend about $7,000 a year on utilities, food and transportation.

I have a running joke with my kids. I tell them I plan to live with them when I get old. I intend to split my time 60/40. Whoever treats me better gets the break! Taking an aging parent into your home is no small step and it ain’t cheap either. According to Consumer Reports, if you care for an aging parent in your home, you’re likely to spend about $7,000 a year more on everything from utilities to food to transportation. But that’s only the tip of the iceberg. There will be lost wages and reduced savings if you must do more than just provide a roof and three square meals a day. Doctors appointments, mobility devices and home accessibility renovations all cost money. And then there’s the time off work. According to statistics, women spend 26.4 hours and men spend 14.5 hours caring for an elderly parent. Along with the lost wages comes significant stress, both financial and personal. It’s time to do some homework if you’re considering taking mom or dad in. Start by figuring out what it will cost. Will you create a separate space or integrate him or her into your home? Will your parent contribute financially? Are there other members of the family that may contribute financially since you’re assuming the time and space responsibilities? Know the tax rules so you’re claiming all that you’re entitled to. If you can claim your parent as a dependent, the tax savings can help offset the additional costs. There is also a caregiver benefit that may help defray costs and loss of income because of the amount of time it takes to look after your parent. And if he or she qualifies for the disability tax credit but doesn’t have the income to claim it, you may be able to use some or all off that as well. If you have neither the space nor the time to be your parent’s caregiver then you must look to assisted living facilities for help. If your parent requires ongoing medical supervision, a nursing home is the next step. These decisions aren’t easy to make, but it makes no sense to ruin your home life, put your relationship at risk or alienate your children if force fitting your parents into your life is going to cause all kinds of problems. Don’t wait until you need an assisted living facility or nursing home to start looking. They can be tough to find. If it means moving your loved one further away from where you live, you’ll have to take into account the cost of increased phone bills, travel and meals away from home when you go to visit. Consumer Reports thinks that’ll add up to about $392 a month, so work it into your budget. I’ve had an older parent move in and I can tell you from personal experience it isn’t a walk in the park. You and your partner better lay down some ground rules about how things will be handled once mommy or daddy arrive. Figuring it out as you go doesn’t work and can cause huge resentments.

Comments Cancel reply

Columns

Why I’m optimistic about the markets in 2025–tariffs or no

This advisor isn’t losing any sleep over the markets. In fact, looking back at 2024 and forward into 2025,...

Why I’m optimistic about the markets in 2025–tariffs or no

A car steering wheel and a bowl of pasta, as symbols of how to get the best auto loan interest rate.

loans

Car loan interest rates: What’s the best Canadians can get?

Car loan interest rates can be as confusing as a complicated recipe, and just as daunting to navigate. This...

Car loan interest rates: What’s the best Canadians can get?

Newcomer to Canada buying their first car at the dealership asking questions of the sales person about getting a car loan.

Newcomers to Canada

Auto loans for newcomers—questions to ask when buying your first car in Canada

Buying your first car in Canada is like any other major purchase. Ask a lot of questions, not just...

Auto loans for newcomers—questions to ask when buying your first car in Canada

A woman using the MoneySense Finder tool at her work-from-home desk

ETFs

Buying ETFs in Canada Tool: The MoneySense ETF Screener

Which ETFs should you invest in? Which ones best suit your risk tolerance? What about personal ethics? Check out...

Buying ETFs in Canada Tool: The MoneySense ETF Screener

Budgeting

What is the Canada Carbon Rebate? Plus, dates and amounts for 2025 rebates

The Canadian government is sending out the last carbon rebate of 2024. See who’s eligible and how much you...

What is the Canada Carbon Rebate? Plus, dates and amounts for 2025 rebates

Canadian woman buying a car, as she learns to manage her money.

loans

Personal Finance For Canadians For Dummies excerpt: How to manage money and stop overspending

Learn how to manage your money, understand your earnings, invest wisely and more, from this excerpt of Personal Finance...

Personal Finance For Canadians For Dummies excerpt: How to manage money and stop overspending

Save

How much money should I have saved by age 40?

Sponsored By

CIBC

How much money should I have saved by age 40?

Save

How much money should I have saved by age 25?

Sponsored By

CIBC

How much money should I have saved by age 25?

Real Estate

How changes to the Home Buyers’ Plan could affect your down payment

Sponsored By

EQ Bank

How changes to the Home Buyers’ Plan could affect your down payment

FHSA

Unsure about buying a home? Why you should open an FHSA now anyway

Sponsored By

EQ Bank

Unsure about buying a home? Why you should open an FHSA now anyway

When mommy moves in

Comments Cancel reply

Related Articles

Why I’m optimistic about the markets in 2025–tariffs or no

Car loan interest rates: What’s the best Canadians can get?

Auto loans for newcomers—questions to ask when buying your first car in Canada​

Buying ETFs in Canada Tool: The MoneySense ETF Screener

What is the Canada Carbon Rebate? Plus, dates and amounts for 2025 rebates

Personal Finance For Canadians For Dummies excerpt: How to manage money and stop overspending

How much money should I have saved by age 40?

How much money should I have saved by age 25?

How changes to the Home Buyers’ Plan could affect your down payment

Unsure about buying a home? Why you should open an FHSA now anyway

Auto loans for newcomers—questions to ask when buying your first car in Canada