I’m really into budgeting and managing finances, but my mother-in-law, who’s 70, is not great with money. She’s on a fixed income, and we just moved her out of a house she couldn’t maintain into an apartment. I’ve worked out a plan to stretch the proceeds from the house for about 10 years if she can stick to a budget. It’s not a lot, but it should be enough for her modest lifestyle. Since she’s struggled with expenses in the past, she’s agreed to let us manage some of her funds. We’re moving her money into a high-yield savings account and directing her Social Security check there too. We set up a bills account for her rent, utilities, and insurance on autopay and will automatically transfer money to her credit union account for groceries and medications. Setting all of this up has been such a hassle, though. We didn’t want to be joint account holders, but it’s tough to find systems for authorized users. I understand the risk of fraud, but it makes it difficult to help her since she’s not comfortable with tech. We live in different states, and handling things over Zoom is challenging for her. Often, we end up on a phone call where she reads me 2-factor auth codes while I log into her accounts. Moving money from the house sale has been the worst part. Her bank won’t let us do it in one go without a wire pin, so we have to transfer it in $10k increments, which comes with a fee each time. They call her to confirm each transfer, which flusters her. I can’t shake the feeling they think we’re trying to rob her, even though we’re just moving the funds to her account. I hope once everything is automated, I won’t have to log in as much. Has anyone else dealt with this or have tips? I thought SoFi allowed for authorized users, but it turns out that’s just for credit cards, which we definitely don’t want her to have.
You’re doing the right thing by setting up autopay. If she lets you access her accounts online, you can monitor her spending too. I know it’s a pain, but places usually want to talk to her directly when you’re getting everything organized. One thing you should consider is having her sign a durable power of attorney. It might not help immediately, but if she becomes unable to manage her finances, it will make things way easier.
Have you thought about getting her a second account at a different bank? You could set up auto deposits and just email her a weekly allowance. It could simplify things a lot.
You’re on the right track with automation. Look for banks or credit unions that allow you to manage accounts as an authorized user without too much hassle. Also, consider using services like Zelle or Venmo for money transfers to avoid those wire fees.