When planning for retirement, most of us focus on ensuring we have saved enough, have the proper healthcare, and are set up to live in our desired location. However, one often overlooked but crucial aspect is the potential impact of cognitive decline, specifically Alzheimer's and dementia, on your financial health.

The Silent Thief: Cognitive Decline and Your Wealth

Dubbed the "Silent Thief," these conditions can covertly erode your wealth, leaving you and your family financially vulnerable. The cost of care can be staggering, with long-term care expenses reaching over $100,000 annually in the United States.

Recognizing the Gradual Progression

The insidious nature of these diseases is that cognitive decline often progresses gradually, making it easy to miss the early warning signs. Many families only recognize the extent of the financial implications when it's too late to take adequate protective measures.

Key Steps to Safeguard Your Finances

To guard against this risk, it’s essential to plan. Here are several key steps you can take to safeguard your finances from the effects of cognitive decline:

1. Build a Financial Safety Net
   Start by setting aside funds specifically for potential long-term care needs. Consider long-term care insurance policies that can help cover the high costs of care.
2. Set Up Legal Safeguards
   Establish legal documents such as powers of attorney, living wills, and healthcare proxies. These documents ensure that your financial and medical decisions are handled according to your wishes if you become unable to make them yourself.
3. Consult Estate and Legal Experts
   Work with estate planning and legal professionals to create a comprehensive plan that addresses potential cognitive decline. They can help you navigate complex legal issues and provide strategies to protect your assets.
4. Monitor for Signs of Decline
   Regularly monitor for early signs of cognitive decline in yourself and your loved ones. Early detection can allow for timely intervention and adjustment of your financial plans.

Proactive Planning for a Secure Retirement

Being proactive about the potential for cognitive decline is not about anticipating the worst; it's about ensuring your retirement remains secure and fulfilling.

Let's Discuss Your Options

If Alzheimer's or dementia is in your family history, let's discuss your options. We can help you construct or review the right long-term plan and connect you with the appropriate experts to protect you. Planning today helps protect tomorrow, turning the uncertainty of cognitive decline into a manageable aspect of your retirement strategy. Don't let the "Silent Thief" catch you unprepared—take action now to secure your financial future.

James Artale is a financial advisor located at EmVision Capital Advisors, 251 W. Garfield Rd. ​Suite 155 Aurora, OH 44202. He offers securities and advisory services as an Investment Adviser Representative of Commonwealth Financial Network^®, Member FINRA/SIPC, a Registered Investment Adviser. He can be reached at (330) 954-3770 or at info@emvisioncapital.com.