Is Cognitive Decline Already Reducing Your Retirement Savings?

Cognitive decline can affect the ability of seniors to wisely handle their finances. Krakenimages.com/Shutterstock

Cognitive decline often occurs slowly, and its progression is almost unnoticed in the early stages. It can frequently be confused with the regular occurrence of increased forgetfulness related to age. Since it may not be noticed for some time, it remains undiagnosed, but it can affect the ability of seniors to wisely handle their finances.

More seniors are apt to make financial mistakes because of cognitive decline. Seniors are living longer now, which increases the likelihood that they may develop dementia or Alzheimer’s. The result is that you could lose a secure retirement due to careless financial mistakes.

Developing Dementia Can Be Costly

The change in the mental status of seniors, Benzinga says, costs some of them as much as $31,000 if they are unaware of their condition. Not only are they more apt to make poor investment choices, but they also become more prone to fall for scams.