Estate planning

Welcome, everyone. I'm Jim Sheridan, director and portfolio manager of RBC Dominion Securities in Oakville. Today, I have the pleasure of speaking with Susan Hyatt, from Silver Sherpa. Susan co-founded Silver Sherpa in 2012.

Silver Sherpa is a professional services company delivering crisis management for the elderly, as well as life planning and coordination services for older people in transition. Silver Sherpa has worked with hundreds of clients. Susan is passionate about changing the way we look at aging and is determined to empower her clients with innovative ways to embrace the longevity revolution. On a personal note, Susan and her team assisted my mother and our family when we needed help relocating my mother to the appropriate care facility. Thank you, Susan and team for the great work you do.

I thought our clients would benefit from hearing about your services, Sue. We will post this conversation on our website for future reference. I encourage anyone who would like to learn more about what Sue's company can do to help your family to. contact Sue directly. Sue, let's start with a few questions. Why did you start Silver Sherpa almost 10 years ago?

Well, thank you, Jim. It's a pleasure to be with you and your team today, and welcome to all of your clients. With regard to your question about why started Silver Sherpa almost 10 years ago. Both my parents went into crisis, and they lived in different cities in Ontario.

There was no coordinated and integrated service that I could call on to get them both out of hospital and into supportive accommodation for their separate care needs, and neither of them could return to their own home. So I spent six months sorting out the choices, sorting out powers of attorney documents, family disagreements, I might add. And then figuring out the cost of all the options talking to their wealth managers and then actually getting them moved into a stable and supportive environment. And Jim, I'm sure that you see this often, and many of the people that might be listening today are in this situation or know of someone in this situation.

You're absolutely right, Sue. It's such an important-- health care is a big issue for our clients. And we're glad to have you here to help us look for some solutions. As a professional services company, how does Silver Sherpa help clients?

That's a great question. So based on that own personal experience of mine, we developed a company to provide those professional services. So think of it as a one-stop shop.

We assign one client director to work with each client and their family. Because one of the things I was really frustrated with was I was dealing with so many different people in the health care system in financial services. It was just overwhelming.

So we have one person as a guide to help you assess your situation, look at the options and recommendations, and cost out those things that you think might be a good thing to do so that you can make an informed decision. And then once you decide on a well-thought out plan then we help you navigate through that plan. And at the same time, we focus on connecting all the dots.

Now those might be information dots. So for example, getting the right information to all the medical specialists that might be involved before an appointment. Just coordinating medical information is a challenge unto itself. And if you need additional services, then we also connect you with a trusted network of professionals that we know and trust.

And for example, Jim, your team is part of our trusted network. So when we have a client who's looking for a wealth management advice or financial planning. They may be selling their home, they may be selling their cottage, then you're part of our trusted network. If they're looking for someone, we recommend your team as part of that network.

Thanks, Sue. Can you give us an example of why Silver Sherpa is different in how you approach elder management issues?

Jim, we take an integrated approach to, what we call, elder management. People have been thinking about this. I think with the COVID pandemic, what's happened is now the microscope has come down on personal care on health care. And people realize how fragmented these services are. So we take a very integrated approach to elder management or these special needs families we also serve.

So think of it as a three-legged stool. And you need all the legs, all three legs, or you're in danger of falling over. So the first leg is living circumstances, health care, personal care. That's all in one bundle, in one leg.

Then the second leg is financial preparedness because these things cost money. And you're going to have to cost out your options that you might need. And then you want to discuss them with your financial planning people because how do you pay for these things if you've accumulated wealth and how are you going to spend that wealth and how much on personal care needs. It also includes tax planning, which I know your team is very good at, Jim.

And the third leg is legal preparedness. And by that, we mean do you have your powers of attorney and your will up to date? But it's much more than that. It's things like advanced care directives. At end of life, if you can't speak for yourself, what are your wishes. And they can be quite detailed and included with your power of attorney.

The other thing is we want to take a look at the powers of attorney because it's not a popularity contest. If you've appointed your eldest son as your power of attorney for personal care, but he hates dealing with medical issues and doctors and the whole personal care side of things, then maybe you should have a little think about that and have a discussion in the family. Is that the best person to represent you on personal care issues if you can't speak for yourself?

So these are all some of the things that make us quite different. We're not a home care company. Home care companies are within our sphere of trusted networks, but what we are is the planning and coordination people that help you think through all of these issues and that three-legged stool because you need that whole coordinated approach in order to move through this scenario with elder management.

It's good point, Sue. And yes, as I mentioned earlier, we used your services, and it was so helpful for our family. Another question is what are the signs suggesting it's time to call Silver Sherpa?

Jim, I think, it's different for every family. That's what's fascinating about this business, is that every day is a new day. Every family is unique. And we're all dysfunctional in our own way at some point in time. I don't know about your family, but mine certainly is.

So I think need to look at the circumstances. However, some of the things that you need to pay attention to. If there's a chronic situation affecting mobility and being able to get around that's starting to get worse and you're noticing it's getting worse-- so for example, let's say, mom has Parkinson's disease and she's been doing really well.

She's got a physical therapist. She's got an exercise program. But all of a sudden, she starts falling two, three times a week and it keeps going on and it keeps getting worse. That's the time to ask for help.

Another example is perhaps you've got a favorite aunt that you're the family member who's closest. She's in her 90s, she's sharp as a tack, she's doing a great job, but you've noticed that she's unable to get groceries. And now she's not making nutritious meals. And the last time you were over, you noticed she was eating potatoes out of a can. Those kinds of things are signals.

And then the last one that we often hear is, Dad's, you know, he seems to be getting a bit confused, he got lost the other day on the way home from the grocery store. It's a trip that he's taken many, many times, but now he seems to have trouble finding his way or normal tasks that he was able to do before like online banking. Now we've noticed he's paid his visa bill three times this month. Those are all signs and signals that you have to pay attention.

What you don't want is to leave these things and let them grow into a crisis, then you fall off the crisis cliff. And everybody's in a panic. So you don't want to go there.

Thanks, Sue. That's really helpful. Another question. What if a loved one is resistant to help or insist they can handle a situation on their own?

That's a common situation, Jim. I don't know about you, but did you ever do what your parents told you after about the age of 30? Most of the time, I didn't.

And so I think we have to recognize that our parents don't like to be told or our older loved ones don't like to be told what to do. So start with common ground. Often an independent third party, such as Silver Sherpa or another group can broach subjects that an elderly person does not want to talk about with their family. And when these circumstances occur, sometimes it's better to have an outsider have the discussion than have this family dynamics going on at the table.

And the other point to remember is that often people resist because they're afraid of the unknown or they fear what's coming. So sometimes it helps to talk to people who do this day in and day out. So, for example, I'm afraid about going to long-term care. Well, there's tons of options.

If you can't stay in your own home or you feel it's time you need extra help, it's not just doom and gloom in the long-term care scenario. There are lots of options. So sometimes it's the fear of not knowing and thinking the worst particularly when you listen to the media today around COVID. We know the disaster that happened in some long-term care homes in Canada, but that wasn't the case right across the board. So it's important to get that expertise and help so that you can sort through what the options are and start having those discussions.

Thanks, Sue. Another question for you. Families are often caught off guard or simply overwhelmed with situations. What are some common situations you see where families could have averted this situation by planning ahead?

That's a good question, Jim. I call it the great procrastinators. And we all do it. We're hoping that something will change, but it doesn't.

We get busy with our lives. And we get busy coping with the pandemic and kids going back to school. And doing all these other things. And all of the sudden, we've forgotten about those elderly folk in the family and we procrastinate.

We knew that dad should not be driving, for example, but that was a year ago. Well, now you get called because dad's been in an accident. He's gone into his town and he's sideswiped another car, and now you've got the police calling.

So if you notice those warning signs that we talked about above, the best advice is don't procrastinate because this is a one-way street. As we get older and as we start to need more help, and it depends on which age it is because of chronic problems or whatever. But this is a one-way street. It is not going to get better.

We're not going to sprinkle magical dust and say, oh, it's all going to go away. It doesn't. So we have to be smart about this and think I had a little bit. And when you start noticing the warning signs, watch out.

The other thing I wanted to mention, Jim, was family disputes because we do spend a lot of time dealing with family disputes. And in those situations, in many of them, what's happened is that the parents or the elderly person has not explained to family members and not made it clear what their wishes are. And so if you don't know as a family member and all of a sudden something happens and you're told, oh, well so-and-so is going to be the power of attorney for property and you thought you were going to be the power of attorney for property and there's no discussion about it, that's when these family disputes start to emerge.

And so we see a lot of angry situations where family relationships are broken simply because there was no communication and no planning. And no reaching out to advisors who could help in this situation. So family disputes is a good one where people get overwhelmed very quickly and it often could have been prevented.

Thanks, Sue, all really good points. In our group, the Sheridan Wealth Management Group of RBC Dominion Securities, we focus on holistic wealth management and planning, but we want our clients to complement that with a realistic living plan. What does that look like to you and maybe explain what a realistic living plan would look like?

Right, Jim. And for the listeners, I would think, I raised Jane Fonda as an example. She's in her 80s now, famous American actress and activist. And she coined the term the third act.

So what she said was-- about a decade ago, she said, look, I think of my life in three acts. The first 30 years, the middle 30 years, and the last 30 years, and they're all very different. So think about your third act, and this goes for all of us.

By the time you get into your third act, in your 60s and into your 70s, we all should be thinking about our living plan because up until then we've planned for retirement. We plan to accumulate wealth. We plan to do all these things, but then what?

Because I'm in my 60s, I intend to live another 60 years. I know my kids don't think that's a great idea, but I think about it. What am I going to do for the next 60 years? So I want to be able to put a living plan in place, which says, OK, what are my needs and wants, what do I want, what do I need?

Look at any gaps in service. For example, should I stay in my own home. I've got a two-storey house. If my joints are an issue and I need a couple of joint replacements, maybe I should think about moving to a bungalow, maybe not.

Where do I want to live? Do I want to be closer to my children because they're starting to have children or not. Do I want to live with one of my kids eventually? Do I want to live in a multigenerational household? Maybe yes, maybe no.

Who do I want to have lunch with 10 years from now? And who do I want to go to a concert with? Those kinds of things because that speaks to intellectual stimulation.

So from our assessments, there are nine key quality of life factors you need to look at. And it's not just medical or health care, but you want to look at all those factors. And then you want to cost it out and say to your wealth manager, well, you know what, this looks pretty good and by the time I'm 80, I think I'll move into a bungalow and do this, but I want to save money for personal care issues because I know I'm going to have to top up health care, personal care. So set aside another $300,000 or whatever for that.

So those are the kinds of big picture planning we should be doing in our 50s, 60s, 70s to plan for the next 30 or 40 years. And that would complement your holistic planning on the wealth management side. And when there are overlaps, for example, tax planning, if someone is having care in their home what tax credits are applicable? When the disability tax credits kick in and how do you get all? All of those things are where we overlap with you, Jim, where we're saying, oh, by the way, so and so they're due.

Now they could get a disability tax credit on the following basis that should offset some of the income generated. And those are the kinds of conversations you want to have. But all of this takes time and planning.

Sue, based on your experience with helping hundreds of clients, what key advice can you offer people that are in their third act, as you defined the third act in life? And this is really our last question, and this'll wrap it up for us.

Jim, the first thing I would say to people over and over again, and I'm thinking about it writing a book and talking about this is empower yourself now. Don't wait. Don't wait for something to happen.

Life happens. You can get in an accident, and then it's too late. So empower yourself. Plan ahead or someone will plan for you, and you might not like what they do. And talk to your powers of attorney so they understand what you want well in advance of needing them to speak for you if you cannot speak for yourself.

Yeah, that's really great advice, Sue. Well said. Thank you, Susan, for sharing all of this great information with our clients and friends. To wrap things up, Susan, can you please let everyone know where they can follow you and how they can contact you?

Yes, Jim. I think we're going to bring up the slide on our contacts. People can get in touch with us at Silver Sherpa. You can get in touch at firststep@silversherpa.

You can see our website, silversherpa.net. There's a direct phone call number there. Your call is forwarded to us, and we can return the call very quickly.

You can follow us on Twitter @SilverSherpa or you can follow us on Facebook at Silver Sherpa-- any of those methods, we have a very full digital program. So any of those methods you can reach us on. And we offer a complimentary consultation to your clients, Jim, and we certainly spend more time with Sheridan Wealth Management clients.

We do see people in their homes particularly with COVID. All of our staff are vaccinated. They're double vaccinated. We track that very carefully. We are all COVID aware and have been through infection control procedures, so we are prepared to come to people wherever they are and that's the easiest way to get in touch with this though is those numbers on the screen.

That's great, Sue. I really appreciate that. And this ends our conversation with Sue, but please feel free to reach out to Sue directly, and share this audio with friends and family that may benefit from Sue's services. Thanks, everyone. Have a great and safe day.