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MoneyWi$e: Financial Survival Tips for the Sandwich Generation · Talking FACS

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  Welcome to Talking FACS, what you need to know about family,
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  food, finance, and fitness.
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  This nationally recognized, award-winning podcast is hosted by the University
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  of Kentucky Family and Consumer Sciences Extension Program.
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  Our educators share research knowledge with individuals, families,
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  and communities to improve quality of life.
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  If you ever feel like you're squeezed just a little bit more than you might
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  be able to handle, you might be a part of this sandwich generation.
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  Welcome to MoneyWiSe on Talking FACS. I am your host, Mindy McCulley,
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  Extension Specialist for Instructional Support with Family and Consumer Sciences
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  Extension at the University of Kentucky.
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  We are housed in the Martin-Gatton College of Agriculture, Food, and Environment.
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  I'm excited to welcome our guesst, Kristen Jowers, an Extension Specialist for
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  OneOp, and Barbara Breutinger, our Family Resource Management intern.
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  Today's episode is for anyone feeling pulled in two directions,
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  caring for children and supporting aging parents.
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  This is the reality for millions of Americans in what's known as the Sandwich Generation.
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  We'll talk about financial strategies, resources for support,
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  and highlight unique challenges faced by this group.
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  So let's just kick this off with what is the sandwich generation?
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  Who fits into this group of people?
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  So the sandwich generation are adults that are balancing the financial and caregiving
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  demands of raising children while supporting aging parents.
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  So this dual caregiving role is a special one, and it comes with unique financial
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  considerations because these adults are usually responsible financially and
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  in other ways for both their children and their aging parents.
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  Right now, the number of people who fall into the sandwich generation is growing as people live longer.
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  So 25% of caregivers, that's about one in four, are caring for someone under
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  the age of 18 and over the age of 65 at the same time.
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  So what do we know about the sandwich generation?
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  Well, first of all, caregivers in the sandwich generation are more likely to be women.
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  They're more likely to report financial and emotional difficulty than caregivers
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  providing care only to their parent or parents.
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  Sandwiched generation caregivers were younger on average, 46 versus 56 years,
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  for non-sandwiched caregivers,
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  with 35% of sandwiched generation caregivers under the age of 45,
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  compared with only 9% of non-sandwiched caregivers.
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  And on average, they put in about 75 hours of caregiving in the past month.
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  As we talk about the sandwich generation, I think of all the other generations
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  that we talk about that really refer to people who were born during a specific decade.
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  This generation could apply to anyone born at any time.
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  It's really just based on when your children were born and where your parents are in their lifespan.
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  There are unique financial pressures that face this generation.
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  Can we talk a little bit about what those are?
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  Yes, Mindy, that's absolutely true. You could have a lot of different generations
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  that are sandwiched between aging parents and their young kids as well.
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  So there's a lot of financial pressures, as you mentioned.
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  So dual caregivers are likely to be covering costs for their kids like education
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  expenses, sports, and housing expenses, while also helping pay for or coordinate
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  payments for parents' health care,
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  housing expenses, and daily living needs.
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  So, while the help of a family caregiver might make the difference between an
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  older person living independently or needing to move into a nursing home,
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  balancing all of these needs can really stretch budgets thin and lead to financial stress.
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  So, how can people who are living in this situation manage these competing demands?
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  Well here are four practical steps we can recommend. First of all,
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  you want to keep your budgets separate.
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  You want to create a budget for your family's expenses, but you want to keep
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  your parents' expenses separate.
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  This is important because programs such as Medicaid have very strict rules as
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  to who qualifies, so you don't want to jeopardize your parents getting the extra
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  help they need by commingling assets.
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  So you also want to ensure all your parents' medical expenses remain in the
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  patient's name and not yours.
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  Secondly, you want to prioritize your own retirement. It's easy to focus on
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  helping others and forget about your future, but your retirement is just as important.
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  So make sure to automate contributions to a 401k, an IRA, or the Thrift Savings
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  Plan if you're in the military.
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  The third recommendation is to explore assistance for aging parents.
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  Again, programs like Medicaid, Medicare,
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  Supplemental Security Income, or SSI, the VA, or community programs can help
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  cover health care or daily expenses And fourthly, you want to seek professional help if needed.
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  A financial planner can help balance your needs, your parents' care,
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  and your kids' needs without sacrificing your long-term goals.
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  Also accept help when it is offered. This could be for anything from carpooling,
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  grocery shopping, household chores, lawn care, doctor's appointments, and so on.
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  Is there a mindset shift required for this sandwich generation?
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  Yes, absolutely, Mindy. I think so many financial plans or advice are considering
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  a traditional family structure,
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  usually a family with singular caregiving responsibilities, such as caring for
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  young ones or caregiving for your parents.
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  But when you're in the sandwich generation, these plans don't necessarily fit.
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  So those plans will have to be adjusted to accommodate your caregiver-specific demands.
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  And so, for example, if your parents can afford their own expenses,
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  they may just need help keeping track of their bills, appointments,
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  maybe handling transportation to and from medical appointments.
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  Researching benefits, and that sort of thing.
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  But let's focus for a moment on military families who may face unique challenges
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  when they're part of the sandwich generation.
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  How does this situation look different for military families?
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  Well, Mindy, as we know, military life brings frequent relocations,
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  unpredictable deployments, and distance from extended family That can make caring
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  for aging parents harder,
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  especially when moving across states or even countries Many benefits,
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  like Medicaid or even some 529 plans, are state-specific.
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  Expenses are also going to vary based on your location and available resources.
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  For example, in Kentucky, where many military families live,
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  the average monthly cost of a nursing home is over $8,000 per month.
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  And rising elder care costs, paired with job gaps for military spouses,
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  make financial pressures even tougher.
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  So are there resources that can specifically help military families?
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  There are resources. The Veterans Administration, the VA, provides caregiver
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  support programs and elder care assistance for veteran parents.
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  We'll include a link to their caregiver support programs in the show notes.
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  We also encourage folks to have open family discussions about long-term care
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  planning, especially for military families, as Barbara mentioned,
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  that may be relocating or moving away from each other for periods of time.
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  Military OneSource does offer free financial counseling for service members
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  and can help support long-term care conversations and provide resources for Medicare,
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  the federal health insurance program for people age 65 or older.
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  And then, as Barbara mentioned, Medicaid eligibility also varies by state.
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  So you'll want to be sure that you're looking at Medicaid specifically in the
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  state in which the person will be living.
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  At OneOp, we did produce a webinar presentation about Medicaid,
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  and so we'll include a link to that in the show notes as well.
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  So whether you are a civilian or a military family, if you are part of the sandwich
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  generation, we want you to know you're not alone.
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  Just create a plan, explore assistance programs, and don't forget to secure
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  your own financial future.
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  If today's episode struck a chord, share it with a friend or start a conversation
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  with your family about long-term care and financial priorities.
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  Thank you for listening to MoneyWise on Talking FACS. You can find us wherever
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  you listen to your favorite podcasts.
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  Thank you for listening to Talking FACS. We deliver programs focusing on nutrition,
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  health, resource management, family development, and civic engagement.
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  If you enjoyed today's podcast, have a question or a show topic idea,
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  leave a like and a comment on Facebook at UKFCSEXT or send us an email at UKFCSEXT@UKY.EDU,
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  Visit us online at fcs.uky.edu to learn more about the University of Kentucky
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  Family and Consumer Sciences Extension Program or contact your local extension
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  agent for Family and Consumer Sciences.
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  We build strong families. We build Kentucky. It starts with us.