So, here's the situation:
1. Two elders on their 2nd marriage, living on their own, and five adult children:
2. "Parent A" gets about $1700/mo (social security) and owns the house where they both live. "Parent B" gets about $4500/mo (social security, pension, some other income), just sold the house they owned when the two got married about 15 years ago for about $600K (before taxes).
3. Both signed a financial prenuptial agreement.
4. Both have health issues,"A" moreso than "B". A part-time caregiver comes to the house a couple of times per week, and both parents are splitting the costs
5. All the children believe the parents should move into assisted living (and both parents have longterm care insurance which should cover a large portion of the expenses, although there is a 90-day deductible.
6. "A" has a $100K home equity loan on the house, about three-quarters of which remains.
At this point, based on current expenses (and both parents are reasonably responsible with their money), "A" will run out of money in about a year--which is where the confusion/concern comes in. Who should provide financially for "A"? The spouse? The kids? Does a 3rd party need to come in to figure this out? "A"'s children are both fulltime employed adults; one is pretty well off, but is supporting childen (one of whom has a serious medical issue), and both would obviously like to save for their own retirement. "B" would like to help fund the her children's kids' college education.
Yeah, it's quite a mess. I think you can make the case for a variety of scenarios, but I figured I'd crowdsource an opinion or two. Thanks in advance for your advice.