Monday, 14 January 2013

A Seismic Shift in the Aging Population ;70% chance that one person in a couple will need Long Term Care at some point in their lives

Money and Business show / Samuel Ezerzer
Wednesday at 4pm live from The Business Headquarters of T.E.WEALTH
David Gillan, CFP, CIM
Vice President, T.E.WEALTH in Toronto
Debbie Gilbert ,CPCA
Certified Professional Consultant on Aging in private practice and the Founder of Generations.

A Special thanks to Marcy Ages Senior Consultant & Certified Professional Consultant on Aging
for T.E.WELATH ,who helped me with the shows content.

listen to the show

Baby boomer is the name given to the generation born in a "baby boom" following World War II, between 1946 and 1964. As "baby boomers" reach senior citizen status, the population of North America will just keep getting older. Baby boomers represent 26% of the population in North America and in Canada the population is aging. In 2011, the median age in Canada was 39.7 years. In 1971, the median age was 26.2 years.

Seniors make up the fastest-growing age group. This trend is expected to continue for the next several decades due mainly to a decreased fertility rate, an increase in life expectancy, and the effects of the baby boom. In 2011, an estimated 4.8 million Canadians were 65 years of age or older, a number that is expected to double in the next 25 years to reach 10.4 million seniors by 2036. By 2051, about one in four Canadians is expected to be 65 or over.
There is a seismic shift in the aging population there is a shift in the distribution of a country’s population towards a higher average age.
In North America Social welfare systems have begun to experience problems. Pay-As-You- Go pension systems are unsustainable. The largest area of expenditure now is healthcare, and the cost will increase dramatically as the population ages. Many governments will face hard choices between higher taxes, a change in tax systems or a reduced government role in providing healthcare. Chances are that socio-economic disparities will become more pronounced in aging societies and thus frictions may arise if not dealt with appropriately.
So despite the rapid growth of the elderly population expected in the near future, few discussions have focused on preparing us to deal with the changing demographics. Given that older persons are living longer and healthier lives, and thus are capable of being more productive and less dependent. Today more and more professionals are learning about the unique needs of an aging population, and are gaining a greater understanding, respect, and sensitivity to the issues impacting older persons and their financial needs.

So if you're the adult child of aging parents, it's important to open up a conversation about their future needs and wishes.
Do you know your parent’s bank, brokerage, and retirement accounts, including account numbers and online user names and passwords; insurance policies (life, home, auto, disability, long-term care), Social Security cards, titles to their house and vehicles, outstanding loan documents, and past tax returns. What if your parents' care is more than you can handle? What if your parents can't manage alone anymore. What should you do? Are your parents planning to stay in their current home, or have they thought about downsizing to a condominium or townhouse?
Stay tuned we will answer all these questions and more , Today We have live from the corporate head office of T.E. WEALTH in Toronto Canada we have as our guest David Gillan is a certified financial planner Vice President of TE WEALTH in Toronto and Debbie Gilbert, a Certified Professional Consultant on Aging in private practice and the Founder of her company -Generations, today topic ;What Financial Planners Should be Aware of from the rapid growth of the Ederly Population Explosion in Canada!

My name is Samuel Ezerzer, your host to the Money & Business show on Radio Shalom, CJRS 1650 AM. Thank you for tuning in live with our Business studios headquarters in Montreal, the financial capital and the home to the greatest hockey team, the Montreal Canadians. We have another great show for you today and as always, you can call if you have any questions, comments, or criticisms on today's topic. Please call us direct at @514 738 4100 ext 200@or email me at if you have any inquiries. You can also visit our website at all our shows are archived there .
David Gillan

David Gillan CFP , CIM ,Vice President, Toronto
T.E. Wealth - Successful wealth strategies since 1972


Sometimes you just know when you’ve arrived at the right destination. That was certainly Dave Gillan’s experience when he joined T.E. Wealth early in 2008. Several years earlier, Dave left a thriving financial planning practice to focus exclusively on investment management. He found that he missed being able to look after all of his clients’ wealth management needs and so when the opportunity came up, Dave made his move. T.E. Wealth’s fee-only difference aligns perfectly with the all-inclusive approach to wealth management that Dave champions.
A financial services professional since 1990, Dave has one objective when working with clients – that they have a clear plan to achieve their goals. Firmly believing that wealth management is much more than delivering a rate of return, Dave takes full responsibility for helping clients achieve the results they are looking for and likes nothing better than exceeding expectations. Providing exemplary customer service is his passion and he sets asides his evenings and weekends for clients because as he says, “people don’t have questions just from nine to five.” Not surprisingly, Dave has built a loyal clientele – the vast majority has also joined him at T.E. Wealth.


This is a question I hear almost every day david , many people still do not understand how long term care insurance works. Due to the heightened awareness of Long Term Care Insurance over the past several years, most people realize that this coverage is an important part of their financial planning. There is almost 70% chance that one person in a couple will need Long Term Care at some point in their lives. So how does long term care insurance work david ?

Long term care insurance will provide you with the funds you need to pay for care in an assisted living home or for care at home. You can either be reimbursed for your expenses or receive a set amount of money on a regular basis.

The Canadian government offers disability tax credits, disability tax benefits and grants for people with disabilities and who qualifies for the Disability Tax Credit? What is the disability tax credit? And how does one apply for the credit?The disability tax credit is a federal non-refundable tax credit that a person with a severe and prolonged impairment in physical or mental functions can claim on their income tax return. The credit for 2011 is 15% of $7,341. To apply for the credit one must complete Form T2201, Disability Tax Credit Certificate and have it signed by a qualified practitioner such as a doctor, occupational therapist or optometrist. Then the form should be sent to the Canada Revenue Agency for approval.

This is an increasingly common scenario. Perhaps one or both of parents are having health problems, suffering mental lapses, or just slowing down with age. The problem may not go away or get better. David when planning for retirement , what additional costs should an individual consider in addition to their regular lifestyle expenses?
- One should include in their planning the possibility that they may need to pay for the cost of attendant care and housekeeping assistance at home or the cost of an assisted living residence which may at some point require additional care with associated costs.
- They may also need to pay for modifications to their home so that they can continue to live there as they grow older.
- We are living longer which means that there will increasingly be two generations of retired adults: what are the potential caregiving costs of one generation to another i.e. long distance caregiving, assisting financially with care costs, relocation costs.
"Some parents, with all good intentions, believe the handling of the will is going to be positive, but they don’t think clearly about what the will is really going to do to their children down the road, it can start family squabbles about money and power , feelings of betrayal ect ect
What are some key issues to consider when preparing your Wills for your children and Powers of Attorney?
- Is your executor capable of administering your estate?
- Does your executor live in the same city as you?
- Does your executor know the extent of your estate?
- Does your Attorney for Health Care know what your wishes are if you are to become incapacitated and is he/she willing to take on this responsibility?
- Is your Attorney for Property/Finance an appropriate choice to manage your finances? (Does he/she have financial difficulties of their own or addiction problems – gambling, drugs/alcohol?)
- Does your Attorney for Property/Finance understand your financial wishes/needs and is willing to take on this responsibility?
- People often think that POA or Executor should be a family member but a family member may not always be the best choice.
- Do you want more than one person to be Executor or POA in order to ensure balance and have a backup person in case one of them is unable or unavailable to fulfill their responsibilities?

Thousands of vulnerable elderly Canadians are abused or neglected in their own homes, the homes of their relatives or in assisted care facilities. Seniors Canada reports that 1 in 5 Canadians believes they know of a senior who might be experiencing some form of abuse. Sadly, many of these cases of abuse or neglect go either unnoticed or unreported and result in the elderly person being at risk for injury or even premature death. What are some of the signs that seniors are being subject to financial abuse?
- Withdrawals from bank accounts or transfers between accounts that the older person cannot explain
- Bank statements and cancelled cheques, investment statements, regular cheques such as OAS, CPP, private pension or insurance cheques no longer come to the elder's home
- Unusual activity in the older person's bank accounts including large, unexplained withdrawals, frequent transfers between accounts, ATM withdrawals or regular direct deposits no longer being put in the older person’s bank account
- Older person does not have their cheque book in their possession
- A caregiver expresses excessive interest in the amount of money being spent on the older person
- Belongings or property are missing
- Absence of documentation about financial arrangements
- Implausible explanations given about the elderly person's finances by the elder or the caregiver
- The elder is unaware of or does not understand financial arrangements that have been made for him or her
- The older person or their home is looking less well cared for: unkempt, weight loss, unclean home environment, lack of food in the fridge, lack of medication

Debbie Gilbert is a Certified Professional Consultant on Aging in private practice and the Founder of Generations.

Debbie Gilbert is a With a focus on Eldercare, Self-care and Care for the Caregiver, Debbie is hired by Baby Boomers and older seniors when either generation experiences a significant change in health. Debbie has 25 years of experience as an occupational therapist and rehabilitation consultant in community and hospital settings.Cerified Professional Consultant On Aging 

Small talk

Debbie’s response: Sam, you are right – you want to have these important conversations with your parents when there is no crisis. When you have a calm moment to take care of your own personal business in an organized way. We put things off because we don’t want to think about someone we love becoming ill but this attitude does not serve us well. When I meet with families to open up these conversations, people feel tremendous relief that they are not keeping important financial and legal information to themselves and that their personal care wishes are discussed. They feel in control of their lives, connected and they sleep better at night. It is the beginning step in creating their road map. It’s also a heads up to the adult sons and daughters to have these conversations with each other and their own children who are now in their 20’s and 30’s.

Debbie; if you have parents or a parent, it's important to open up a conversation about their future needs and wishes. When is the best time to talk to your parents , when healthy and active right?
(Otherwise, you may find yourself making critical decisions on their behalf in the midst of a crisis--without a road map)


6.Debbie Gilbert - Many Canadians dismiss signs of dementia as just a normal part of aging and wait far too long before having a doctor check out the symptoms, a survey by the Alzheimer Society of Canada suggests. What are some of the early signs of dementia?- There are different kinds of dementia of which Alzheimer’s Disease is the most common. Memory loss alone does not mean a person has dementia.
- Loss of short term memory: Forgetting names or people, appointments, or whether or not the person has done something; losing things
- Difficulty with language such as finding words
- Difficulty performing familiar tasks – Driving (driving is a tricky one: person in early stages of dementia may be quite capable technically to drive but because they may get lost, driving is a problem. As dementia progresses, driving technically becomes very problematic for a host of reasons. Driving is a great topic from a financial/legal/insurance perspective), dressing, cooking a meal, household chores, managing personal finances,
- Personality changes (for example, person may become withdrawn, irritable, rude or socially inappropriate),
- Confusion, disorientation in familiar surroundings –get lost going to familiar places,
- Poor judgment and insight– difficulty making decisions
7. Debbie -What are some intergenerational perspectives or concerns at play to be aware of when dealing with eldercare issues?-

Each generation has its own mindset or perspective: Older seniors who lived through the Depression and World War II are often more hesitant to spend money on themselves – they have been savers in life rather than spenders whereas Boomers have been much more consumer driven, less adverse to taking on debt and in general have had less of a focus on saving. Older seniors are often less willing to spend money on their own care even though they can afford to.
- Older seniors are often worried that if they let their adult sons and daughters know how they are really managing, they will lose their autonomy: maintaining independence and control over their lives (medical, legal, financial) are very important (as it will be for Boomers)
- Boomers are in challenging positions: they are juggling demanding careers, may still have children who are dependent on them and are increasingly caring for older parents: sandwich/double decker sandwich generation: the average caregiver provides 20 hours a week of unpaid care to a family member over the age of 50

- there is a gender imbalance in eldercare in both generations: women whether they are daughters, daughters-in-law or wives (women are still living longer than men and are often younger than their husbands, are more likely to be caregivers)are shouldering more of the caregiving responsibilities.
- Older seniors have likely had more traditional divisions of responsibilities within a marriage than Boomers: men more likely to take care of finances and household maintenance and women taking care of children, cooking, cleaning, laundry, grocery shopping and often social activities: when there is a change in health in one of the spouses or widowhood, there can be a major adjustment for the older person who is now responsible for tasks that they have limited or no understanding
- Boomers had fewer children than their parents or no children and may not have a younger generation to rely on during their own care years. They are more likely to be divorced without a spouse to help during care years.

8. Debbie-When making decisions regarding care options what we mean is whether the person will move into an assisted living home or someone chooses to stay home , what does one need to think about and consideration?-

Do you remain in your home and bring care services in or move to assisted living where care to varying degrees, is provided? There are pros and cons and different cost implications to each of these choices.
- When the older senior in need of care is married, what is the health of that person’s spouse, what are his/her needs and preferences and how does that factor into care options?
-You need to take the caregiver into consideration whether that person is a spouse or adult son/daughter. Caregiving is physically and emotionally demanding with its own risks. If you do not take care of the caregiver, you may have two people in need of care not just one.
- You need to think not just about current care needs but future care needs as well. For example, A person with dementia or other progressive diseases will need more care as their illness progresses and what may be a good care option today, may not work well in the future.

9. Debbie -What is the role of the eldercare consultant in supporting family during care years?
- Eldercare consultants can provide a broad range of services and may have specific areas of focus including: care planning and coordination, advocacy, accessing services whether from government, community or privately funded sources, housing options and long term care placement, referring to other professionals and helping families work together to deal with care issues.
- In my experience, people are often overwhelmed when there is a change in their own health or the health of an older family member whether on a temporary or ongoing basis. They do not know what they need to pay attention to now or in the future from medical, legal, financial or housing perspectives or how to access a variety of services. They need a road map to help them navigate unknown territory and often need as much emotional support as they do practical support. We are living longer and the care years can be for a longer duration.

What type of free services does the government offer to seniors who need care.- There are federal and provincial services that offer services to seniors. Provincial services can differ from province to province and some services may be income based.

- Each province’s Ministry of Health offer home care services to enable seniors to remain in their home. They provide medical, housekeeping, personal/attendant and respite care. They have their own assessment process to determine eligibility for services, type and amount of services. My experience working with families, primarily in Ontario is that amount of care provided through government sources is frequently significantly less than amount of care needed.

- In my role as an eldercare consultant that draws upon my health care background, I help individuals and families identify their specific care needs, create realistic care plans and if requested, put the appropriate services in place whether at home, in hospital or assisted living residences and refer them to a network of professionals as needed. I provide support in exploring housing options and making those transitions. Caregivers are often invisible and as an eldercare consultant, I help ensure that their voices are heard and that their needs are also taken into consideration. Families may have difficulty broaching care topics with each other because they are uncomfortable talking about sensitive issues, are worried about causing any upset or there may be challenging family dynamics in play. There are generational perspectives to bring into the conversation. Having an objective professional facilitate family conversations can be very helpful in getting organized, finding balance and perspective and decreasing or preventing potential conflict.
10. Debbie -
All provinces partially fund long-term care residences. They are responsible for assessing seniors to determine eligibility to be put on a LTC waiting list and the priority of the person’s need for placement.
- Provinces differ on drug plan coverage for seniors
- Veteran’s Affairs and Canada Housing and Mortgage Corporation are two federal programs that have funds available based on specific eligibility criteria to address health care needs and home modification needs
- Services Canada ( is a government website that provides a list of programs from finance, to housing and health care for seniors across Canada
- Veteran’s Affairs and Canada Housing and Mortgage Corporation are two federal programs that have funds available based on specific eligibility criteria to address health care needs and home modification needs
- Additional government allowances for low-income seniors are available

Special thanks to Marcy Ages who helped me with the shows content

Senior Consultant & Certified Professional Consultant on Aging T.E.WEALTH
D: 416-640-8577


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