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I know this situation. Does she own her own place? We helped my mother in law pay off all her car loan and mortgage but she’s going to keep working a long as possible (enjoys it) for the cash flow. Eventually she’ll move in with us because there will be no choice. Hence getting ahead on debts.
One thing you want want to ask her — did she ever take out a life insurance policy? See if she can cash out. It helped in my mother in law’s case.
Her $50k, don’t invest it in the market. Just put it in a CD.
It’s not going to be a one and done solution. You just slowly start to help and it will take some time for reality to settle in. It’s more emotional for your partner and his mother. More fact based for you as you’re thinking about the numbers. So go slowly but you’re doing the right thing.
Since she doesn't own her house, is there any way for her to downsize to a condo or something smaller that she can afford with the equity (no mortgage)?
If she lives frugally beyond that, social security could go a long way towards her non-housing costs, so you won't have to support her as much down the road.
I was thinking about that, thank you! She’s very emotionally attached to the house so it’s a hard conversation to have.