Tips to Ease Financial Concerns After a Dementia Diagnosis

Learn how to ease financial concerns after a dementia diagnosis in someone you love.

With so much attention focused on medications, medical appointments, safety concerns, and the day-to-day challenges of supporting someone with dementia, it’s easy for financial planning to slide to the bottom of the list. And yet, it’s one of the areas that can create the most stress if it’s left unaddressed. Questions about affordability, future care needs, and financial responsibility tend to surface quietly, often late at night, when everything else finally slows down.

You may be wondering whether you’re prepared to manage finances if the need arises, or whether the person you’re helping has the right safeguards in place. While the topic can feel overwhelming, taking the time to answer a few key questions can ease financial concerns after a dementia diagnosis.

1. What legal and financial documents need attention?

After a dementia diagnosis, one of the most important early steps is reviewing legal and financial documents. These documents help ensure decisions can be made smoothly and according to the individual’s wishes as cognitive changes advance.

Key documents often include powers of attorney for both healthcare and finances, wills, trusts, and advance directives. If these documents are outdated or incomplete, it can create confusion and delays at critical moments. Addressing them early allows the person with dementia to participate in decisions while they are still able to express preferences clearly.

Having proper documentation in place also protects you. It provides legal authority to manage finances, pay bills, and make care-related decisions without unnecessary obstacles. While these conversations can feel uncomfortable, they often bring relief once completed, knowing expectations are clearly defined and future decisions won’t fall into a legal gray area.

2. What are the options for covering care costs?

Even if extra care isn’t needed right now, dementia is a progressive condition, and support needs typically increase over time. Understanding financial options early allows you to plan rather than scramble later.

You’ll want to review any long-term care insurance policies, paying close attention to coverage details, waiting periods, and eligibility requirements. Veterans’ benefits may also be available, depending on service history, and can help offset the cost of in-home care or other support services.

Personal savings, pensions, and investments often play a role as well. While it’s difficult to predict future care needs precisely, having a general understanding of available resources helps you make informed decisions and avoid surprises. Planning ahead allows care choices to be based on what’s best for the person, not just what feels financially urgent in the moment.

3. How can we make the most of existing resources?

Once you understand what’s available, the next step is maximizing those resources. This may involve reviewing current expenses to identify areas where costs can be reduced or redirected. Subscriptions, unused services, or overlapping insurance coverage may free up funds that can be applied toward care.

You may also find value in working with professionals who specialize in elder care planning or dementia-related financial guidance. These advisors can help you evaluate options, project future costs, and create strategies that balance care needs with financial sustainability.

Support organizations focused on dementia can also provide education and guidance, helping you understand what resources exist locally and nationally. You don’t have to navigate this alone, and seeking advice early can prevent costly missteps later.

Support when you need it

Managing finances alongside dementia care is a lot to carry. If you’d like help reviewing long-term care insurance policies, exploring veterans’ benefits, or building a care plan that fits within the person’s budget, we’re here to help.

Our team understands the complexities that come with dementia care and can help you think through next steps with clarity and compassion. We’re proud to serve individuals living with dementia in Novato, Petaluma, San Rafael, and throughout the Bay Area, and we’re here whenever you need guidance, support, or simply a place to start. Contact us any time at (866) 940-4343 to get started.