Addressing the legal and administrative necessities associated with aging and caregiving is an inherently difficult task, as it forces us to confront the realities of declining health and the inevitability of life’s end. However, the pain of not having these affairs in order can far outweigh the discomfort of preparation. Proactive planning or the sudden realization brought on by a health emergency underscores the importance of having essential legal documents and arrangements in place.
Essential Legal Documents:
Power of Attorney (POA): A durable power of attorney is vital, granting comprehensive powers to a designated individual from the moment of signing. It circumvents the complex and potentially problematic process of declaring someone incompetent. This document must be registered appropriately and copies stored securely in various locations, including a safe deposit box, to prevent complications should the original be lost. Ensuring the POA is accepted by banks and other institutions by verifying its acceptability in advance can save considerable trouble later.
Health Care Directive: This document allows healthcare decisions to be made by a trusted individual when one is unable to do so themselves. It specifies wishes regarding medical treatment, including directives like “do not resuscitate” orders, ensuring that healthcare providers and loved ones are aware of and can honor these preferences.
Will and/or Living Trust: Establishing a will is crucial for outlining the distribution of assets posthumously. A living trust can further facilitate the process, allowing major assets to be managed and transferred efficiently and privately, avoiding probate. Caregivers should also have their own will and living trust to ensure that arrangements are in place for their dependents.
Doctor’s Letter: A letter from a physician detailing the need for assisted living or memory care can be invaluable for insurance purposes, tax deductions, and legal clarity, especially when traveling or relocating.
If Relocating to Mexico:
- Visas: For extended stays in Mexico beyond the tourist visa limit, explore options like the Residente Permanente visa or a Humanitarian Visa, the latter of which may be facilitated by Mexican care facilities for those in assisted living or memory care. Caregivers planning to live in Mexico or visit regularly should consider applying for temporary then permanent residence visas, especially given tightened regulations on tourist visa renewals.
Organizing Important Papers:
Creating a comprehensive binder or file system for all critical documents is a proactive step that can significantly ease the caregiving journey. This collection should be accessible to trusted individuals, such as a spouse, adult child, or family friend, and should include not only the documents previously mentioned but also any additional important information (to be listed subsequently).
Taking the time to organize these affairs, despite the emotional difficulty, ensures that you and your loved ones are protected and prepared for future challenges. This approach not only mitigates potential legal and financial hardships but also provides peace of mind in knowing that wishes and needs will be respected and met. You should take your spouse, adult child, and/or a trusted family friend through this information and where it can be found. In addition to what we have discussed about, you probably should assemble the following:
Personal Records
- Full legal name
- Social Security number
- Legal residence
- Date and place of birth
- Names and addresses of spouse and children
- Location of birth and death certificates and certificates of marriage, divorce, citizenship, and adoption
- Employers and dates of employment
- Education and military records
- Names and phone numbers of religious contacts
- Memberships in groups and awards received
- Names and phone numbers of close friends, relatives, doctors, lawyers, and financial advisors
- Medications taken regularly (be sure to update this regularly)
- Location of living will and other legal documents if not in this file or binder (e.g., safe deposit box).
Financial Records
- Sources of income and assets (pension from your employer, IRAs, 401(k)s, interest, etc.)
- Social Security and Medicare/Medicaid information
- Insurance information (life, health, long-term care, home, car) with policy numbers and agents’ names and phone numbers
- Names of your banks and account numbers (checking, savings, credit union)
- Investment income (stocks, bonds, property) and stockbrokers’ names and phone numbers
- Copy of most recent income tax return
- Location of most up-to-date will with an original signature
- Liabilities, including property tax— what is owed, to whom, and when payments are due
- Mortgages and debts—how and when they are paid
- Location of the original deed of trust for home
- Car title and registration
- Credit and debit card names and numbers
- Location of safe deposit box and key
Bottom Line
If you do not have the right papers in place before it is obvious that an individual is no longer in a state of mind (i.e, deemed competent) to make decisions and execute legal documents, all of the assets associated with that individual will be tied up until after they pass, their will has been filed and probated (8-12 months).
Typically, money and property will need to be shifted around while the individual is in care, and this cannot be done without the proper papers in effect. Things you may need to sell or draw money from include: homes/property, cars, bank accounts and retirement funds.
None of these documents will not be honored in Mexico, but they will be critical in your day-to-day business of running you family, household, and finances in the US. And they will be very critical once somebody passes.
For More Information About Getting One’s Affairs in Order:
AARP
1-888-687-2277 (toll-free)
1-877-434-7598 (TTY/toll-free)
1-877-342-2277 (español/línea gratis)
1-866-238-9488 (TTY/español/línea gratis)
www.aarp.org/home-family/caregiving/
CaringInfo
National Hospice and Palliative Care Organization
1-800-658-8898 (toll-free)
Centers for Medicare & Medicaid Services
1-800-633-4227 (toll-free)
1-877-486-2048 (TTY/toll-free)
Eldercare Locator
1-800-677-1116 (toll-free)
National Academy of Elder Law Attorneys
1-703-942-5711
National Elder Law Foundation
1-520-881-1076
Download the Expatriate Guide for Senior Living in Mexico – For your convenience, the entire 50-page guide is available for download as a PDF. Additionally, give us a call at +1.888.406.7990 or email us at information.cielitolindo@gmail.com. We would love to hear from you.