How you can help an older loved one manage their finances

Talking about money with an older parent or loved one can be a sensitive subject.

They may have managed their finances independently for decades, so even a well-meaning offer of support could feel intrusive or suggest that you no longer trust them to make their own decisions.

They might struggle with online banking, lose track of household bills, or feel unsure about whether a phone call or email is genuine. A change in their health could also mean they need more help managing their affairs in the future.

Starting conversations early and involving your loved one in every decision could make the process far easier for everyone.

Continue reading to discover five practical ways you could help older loved ones manage their finances while still respecting their independence.

1. Start with a calm and open conversation

If you notice unopened letters, missed payments, or confusion around an account, your first instinct might be to step in and help.

Yet, suddenly taking control could make your loved one feel embarrassed, so it may be more helpful to start with a simple conversation.

You could ask whether there are any financial jobs they find more difficult than they used to, or whether they would appreciate a second pair of eyes when checking bills and paperwork.

They may not need help with everything. In fact, they might be perfectly comfortable managing their day-to-day spending but struggle with one particular task, such as using a banking app or comparing energy tariffs.

You could also arrange a regular catch-up to go through any important paperwork together. This could give your loved one reassurance that nothing has been overlooked without making them feel as though they have lost their independence.

2. Help them make everyday finances easier to manage

Even relatively simple financial information can become confusing when it is spread across paper statements, emails, online accounts, and different providers.

Helping your loved one bring everything together could make their finances feel far more manageable.

For instance, you could create a straightforward record of their:

• Bank and savings accounts
• Bills
• Pensions and other income
• Protection policies
• Investments

You could also help them cancel old subscriptions, organise paperwork into labelled folders, or set up direct debits for essential household costs.

These small changes could reduce the chance of important bills being missed while making it easier to spot anything unusual.

It might also be worth helping your loved one organise key estate planning information, such as where their Will is stored and who to contact about pensions, investments, or insurance policies.

3. Support them with online banking safely

Banking has changed significantly over the years, and many everyday services are now managed through websites or mobile apps.

While this can be convenient, it might feel frustrating to someone who is less comfortable with technology.

You could sit with your loved one while they set up online banking and show them how to complete basic tasks, such as checking their balance, viewing recent payments, or transferring money.

Simple written instructions could help them repeat these steps independently later.

You might also make their device easier to use by increasing the text size, adjusting the screen brightness, or setting up fingerprint or facial recognition.

If your loved one wants you to help manage their account more formally, it may be better to contact the bank together.

4. Help them recognise potential scams

Financial scams are becoming increasingly difficult to identify.

Fraudsters often try to create panic, hoping the person will act before questioning whether the request is genuine.

As such, you may want to explain some common warning signs of scams, including:

• Pressure to act immediately
• Requests to move money to a “safe account”
• Unexpected demands for payment
• Requests for passwords, PINs, or security codes
• Messages from loved ones using unfamiliar telephone numbers.

You might also agree that they’ll speak to you or another trusted person before making an unusual or particularly large payment.

5. Discuss putting a Lasting Power of Attorney in place

A Lasting Power of Attorney (LPA) allows your loved one to choose one or more trusted people to make decisions on their behalf.

There are two types of LPA. These include:

• Health and welfare
• Property and financial affairs.

Importantly, your loved one must have the mental capacity to understand the decision when they create an LPA. This is why it’s worth discussing it before support becomes urgent.

If they later lose capacity without an LPA, family members may need to apply to the Court of Protection to become a deputy, which can be a much longer and more complicated process.

A financial planner could help you support your loved one

At Hansford Bell, we can help your loved one understand their financial position and make plans for the future.

Moreover, we’ll listen to what they want and involve them throughout the process. With their permission, other family members can also join conversations, helping everyone understand the plan without taking away your loved one’s independence.

We can also work alongside solicitors and other professionals where appropriate, helping ensure arrangements such as their Will and LPA fit with their wider financial plans.

So, to find out how we could help you plan for the next phase of your life, please call us on 01822 617 960, email info@www.hansfordbell.co.uk, or fill in our online contact form, and we’ll be in touch.

Please note

This article is for general information only and does not constitute advice. The information is aimed at individuals only.

All information is correct at the time of writing and is subject to change in the future.

The Financial Conduct Authority does not regulate estate planning.