Increasingly, Americans are relying on non-family caregivers as they get older. Having the services of these caregivers, whether it’s every day or a few days a week to help out with cleaning, doctor’s appointments and other errands, can help people avoid assisted living facilities or relocating to live with relatives.
If you have a caregiver, you’ve likely become close to them. You may even consider them an extended family member – or at least a close friend. It’s only natural that you may want to include them as a beneficiary in your estate plan to reflect those feelings and show your appreciation.
There are some important things to be aware of if you choose to do that. Unfortunately, some caregivers take advantage of cognitively and physically compromised seniors by pressuring or tricking them into making changes in their estate plans.
That’s why Ohio courts have ruled in multiple cases that if family members challenge a non-family caregiver’s inheritance, that caregiver has the burden of proving that their inclusion in the estate plan is legitimate. That’s sometimes called a “rebuttable presumption” of undue influence or fraud.
Preventing allegations of undue influence
There are some relatively simple ways to prevent conflict and court battles between your family and your caregiver. Talking to your family, or at least your chosen executor, is a good place to start. Let them know you intend to leave your caregiver something and explain how much they’ve meant to you (and taken some of the burden of caregiving off the family). If you don’t feel comfortable doing that, at least put something in writing (preferably witnessed by your estate planning professional) so your family feels comfortable that this is your decision.
You may also choose to give your caregiver their “inheritance” while you’re still around if it involves assets you can live without. It’s wise to codify this as noted above to prevent accusations of theft.
What too many people do, unfortunately, is “promise” their caregiver they’ll receive something after they’re gone and rely on family to give it to them. Sometimes, they just tell them to take something. Without properly codifying those wishes, the caregiver is left in a difficult position and can end up with nothing – or accused of theft.
By having sound legal guidance as you create or modify your estate plan, you can help ensure that your caregiver and other important people in your life receive what you want to leave them without unpleasant and costly consequences.