How to handle cash as a Fiduciary

Discussion in 'Fiduciary questions' started by deborah peterman, Mar 16, 2017.

  1. My mother who has dementia has been approved for A&A and the VA has proposed appointing a fiduciary for her. I have her POA and have been helping her with her finances and we intend to propose that I become her fiduciary. I have researched the VA info on the subject and have a question. Mother likes to keep up to 300 in cash at the house for her use to spend as she pleases. How would a fiducairy give her the cash? Thanks for any help.
     
  2. Jandy

    Jandy Jr. Member

    Hi Deborah Peterman,
    The VA asserts that cash withdrawals from the fiduciary account (via ATM, counter withdrawals, checks made out to cash) are not acceptable. Thus, if you wish to give your mother some spending money, it would need to be from another source.

    My larger concern is this: if your mother has dementia and the appointment of a fiduciary is necessary, is she able to manage this money successfully? I would worry that she could get confused or even fall victim to scammers. A smaller amount (say, less than $50) wouldn't worry me as much, but $300 is getting into the "uncomfortable zone" for me.

    Perhaps you could broach the subject with your mother--ask her what she likes to use the money for and offer to pick up the items yourself to "help her out." I know the loss of autonomy is tough, and these are uncomfortable conversations to have with our loved ones with dementia, but they are necessary.

    You could also seek guidance from the VA fiduciary rep during your interview.

    Good luck and keep us posted.
     
    Last edited: Mar 19, 2017
    Kaylin likes this.

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