Cognitive Aging and the Capacity to Manage Money


The brief’s key findings are:

  • Most people in their 70s and 80s can still manage their money, as financial capacity relies on accumulated knowledge, which largely stays intact with age.
  • However, financial novices who lack such knowledge and are forced to take over money management after a spouse dies will likely need help.
  • And individuals who develop a cognitive impairment may see a substantial reduction in their financial capacity and need someone to step in for them.
  • Given that this impaired group will grow to more than a third of individuals who reach their 80s, better monitoring of financial capacity will be essential.

The CRR wants to hear from our website users like you. Would be you willing to take a short survey?

Yes, take me to it.       No, thanks.      Not now, but ask me later.