A lot of money can be saved on medication by buying generic drugs. If certain medications are taken regularly, you can save money by ordering them through a mail order drug program. You could also choose to order drugs from pharmacies in Canada.

Children who pay for their parents care, especially medical care, are eligible for tax deductions. If the unreimbursed medical care expenses are above 7.5% of the adjusted gross income of the adult child, then these expenses are tax-deductible. If more than one child pays for the parent’s care, the deduction can be taken advantage of, if all the expenses are added up and attributed to one child. Also, a parent can be declared a dependent if he/she earns less than $3200 per annum in taxable income. With this declaration there is a deduction in tax as well.

A reverse mortgage is something a lot of elderly people are looking at as an alternative way of subsidising costs after retirement. As the name suggests, with a reverse mortgage, you get a loan from the bank with your house as mortgage. But instead of paying the bank, the bank sends you a monthly check. The loan becomes due only at the time of your death or when you sell your house. You have to be 62 years old and own a house to be eligible for a reverse mortgage. The older you are, the more money you get. In the 1980’s, reverse mortgages were not very popular because of low rates. But now, with new variable interest rates, this is an option worth considering.