A cancer diagnosis is life-changing. You're not just dealing with physical symptoms and stress about your future, but you may also be worried about your finances. But with a plan and the appropriate resources, you may regain a sense of control and free up some time and energy to focus on your health.
Step 1: Take a Financial Inventory
When you're first diagnosed, it’s essential to investigate and understand your total financial picture. Start by gathering and organizing your financial documents, including bank account statements, credit card balances, medical bills, insurance policy details, income records, monthly expenses, and any savings or retirement accounts.
Creating a simple budget with a spreadsheet may help you visualize your cash flow and identify where you may need to adjust during the coming weeks and months.
Step 2: Understand Your Health Insurance Coverage
Medical costs are often the most immediate concern after you've been diagnosed with cancer. Contact your insurance provider or your employer’s HR department to review what treatments and medications are covered.
You may also want to ask about issues like whether you need preauthorization for care, what doctors and hospitals are in-network and out-of-network, and what coverage you may have if you want to get a second opinion or enroll in a clinical trial. You should also ask about your deductible and your out-of-pocket requirements to know how much you may be responsible for (since most cancer treatments require you to hit these thresholds).
Don't be afraid to ask for a case manager or patient advocate to help navigate billing and approvals. Many hospitals, especially cancer hospitals, have social workers or financial counselors who may help you at no extra cost.
If you’re uninsured or not sure your insurance covers the cost of care, you may explore public options like Medicaid, Medicare, or state health exchanges.
Step 3: Talk to Your Employer
One of your first steps should be to have an open and honest conversation with your employer and the employer’s human resources (HR) department about your options. Don't be afraid to disclose your diagnosis or ask for help during this challenging time. Most people have legal protections in place that may safeguard your job while you're going through treatment.
Some important things to ask about include:
- Short-term and long-term disability benefits
- Paid time off or sick leave policies
- Family and Medical Leave Act (FMLA) protections
- Modified work schedules or remote work accommodations
- Whether you may continue your health insurance through COBRA if you leave your job
This last item listed above is one of the most important, since getting new health insurance coverage while you're undergoing cancer treatment might be challenging, if not impossible.
If you’re self-employed, consider speaking with a financial professional to explore temporary income questions, tax relief options, and potential grants.
Step 4: Prioritize and Adjust Your Budget
Even with insurance, costs may add up—copays, deductibles, transportation, special diets, and lost income. Now’s the time to revise your budget with your new reality in mind.
Consider stopping non-essential expenses like streaming services, dining out, and memberships. You may pause or ask to lower your debt payments by contacting lenders about hardship programs. Community services like ride-sharing, meal delivery, and utility assistance may be able to help you. Many cancer organizations offer direct financial aid for specific needs like lodging, childcare, or medication.
Step 5: Manage Your Credit Rating and Debt
With so many bills and financial changes, it’s easy to fall behind—sometimes without even realizing it. Safeguard your credit rating by contacting creditors early. Don't wait until you've already fallen behind on your bills. You may always ask about payment plans, deferments, or interest-free options. Keep your medical bills organized by requesting itemized statements and checking them carefully for errors.
Avoid depending on credit cards if possible. Instead, you may explore lower-interest personal loans or medical financing alternatives. You may want to sign up for a free credit report from sites like AnnualCreditReport.com to monitor your credit and make sure you haven't missed any payments inadvertently along the way.
If you’re overwhelmed, consider speaking to a certified credit counselor or nonprofit financial professional. Some of them even specialize in medical debt.
Step 6: Evaluate Your Long-Term Financial Plan
Depending on your diagnosis and treatment plan, you may need to adjust your long-term finances. Review your retirement accounts. You may need to pause contributions, adjust investments, or change your beneficiaries.
If you haven’t already made plans, this is a good time to create or revise your will, power of attorney, and health care directive. Also, be sure to explore your life insurance options. Some policies allow you to access part of your benefit early if you are diagnosed with a terminal illness. If you’re no longer able to work or may likely be out of the workforce for a while, Social Security Disability Insurance may provide monthly income if you qualify.
It’s often helpful to work with a financial professional who has experience with medical-related financial planning. Look for someone who understands the specific needs of cancer patients and survivors.
Step 7: Build an Emergency Fund
If you already have an emergency fund, do try to save it for unexpected expenses. If you don’t have an emergency fund, start building one now.
Even small amounts may help. Automate these small contributions whenever possible, and deposit any grants, gifts, or refunds into this fund.
Emergency funds offer financial flexibility when life is unpredictable. This may be especially valuable while you're undergoing cancer treatment.
Step 8: Lean on Support and Ask for Help
Managing money after a cancer diagnosis is tough and emotionally draining. Don’t be afraid to ask for help from family and friends. You may also get help from social workers or patient advocates at your treatment center, nonprofits and community organizations, financial professionals, and credit counselors.
Some people also set up crowdfunding pages through platforms like GoFundMe. While this isn't a long-term financial plan, it may provide short-term relief and help to rally your support network at this essential time.
Final Thoughts
A cancer diagnosis changes many aspects of your life. But with the appropriate tools, support, and information, you may take back some control over your finances. Start with small, manageable steps. Organize your budget, explore assistance programs, and ask for help when you need it.
Important Disclosures:
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.
This article was prepared by WriterAccess.
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