WEST DES MOINES, IOWA (April 3, 2025) — As Tax Day nears, the Alzheimer’s Association is encouraging families and individuals across the country to take a closer look at their finances. One in nine Americans aged 65 and older are living with Alzheimer’s disease — that’s nearly seven million Americans across the country and over 62,000 here in Iowa.
The disease not only takes a tremendous physical toll on diagnosed individuals, but the costs associated with the disease can be overwhelming and put a huge economical strain on families. Disease-related costs can jeopardize a family’s financial security, and many families and caregivers make enormous personal and financial sacrifices. The 2024 Alzheimer’s Association Alzheimer's Disease Facts and Figures report found:
● The total lifetime cost of care for a person living with dementia is estimated at almost $400,000 ($394,683) with 70% of these costs borne by family caregivers in the forms of unpaid caregiving and out-of-pocket expenses.
● Dementia caregivers bore nearly twice the average out-of-pocket costs of non-dementia caregivers.
● Nearly half (48 percent) of care contributors must cut back on their own expenses — including necessities like food, transportation, and medical care — to afford dementia-related care, while others must draw from their own savings or retirement funds.
● More than half of adults (51%) incorrectly believe that Medicare helps pay for nursing-home care or are unsure whether it does.
To help families navigate these and other financial challenges, the Alzheimer’s Association offers a free online education program, “Managing Money: A Caregiver’s Guide to Finances.” Tips from the program include:
● Plan early — There are many benefits of planning early when it comes to your finances — both for the caregiver and the person with the disease.
● Start a positive discussion about finances — Bring in trusted family members or close friends for a discussion about what the person with the disease wants for the future.
● Avoid financial abuse and fraud — Individuals living with dementia have a greater risk of becoming victims and may struggle with making good financial decisions.
● Organize your finances — Conduct an inventory of your financial resources (savings, insurance, retirement benefits, government assistance, VA benefits, etc). A financial planner or elder care attorney can help.
● Create a backup plan — Designate a trusted back-up agent for the person’s power of attorney and consider designating responsibilities to more than one person.
For more information on financial planning, visit: Plan for Your Financial Future or alz.org.
