The relationship between Subjective Cognitive Decline-Financial Interference and excess Spending in Older Adults With...

This study examined whether a brief measure combining subjective cognitive concerns and financial interference, termed Subjective Cognitive Decline-Financial (SCD-F), is associated with excess spending behavior in older adults.

Community-dwelling older adults, some with early memory loss and some with no cognitive complaints (N = 150, M age = 72.6) provided 12 months of checking account statements and participated in interviews to clarify aspects of their personal financial behaviors. SCD-F was defined by asking if memory decline was interfering with financial decision making or transactions. A 3-point SCD-F measure was created. Excess spending was determined by whether checking account expenditures exceeded all sources of income. Nonparametric tests (Kruskal-Wallis and Mann-Whitney U) and multiple regression models assessed group differences and predictors.

Group differences in excess spending were pronounced (H(2) = 15.75, p < .001). Those in the high SCD-F group had a significantly greater likelihood of excess spending (Z = -4.11; r = .43) and higher excess spending percentages (Z = -4.11; r = .43) compared to those with no memory loss. Regression analyses indicated that SCD-F was the strongest predictor of excessive spending (β = .40, t = 5.43, p < .001), even after controlling for age, gender, race, and education (R² = .235, F(5,144) = 8.86, p < .001).

A brief self-report measure, SCD-F, effectively identifies older adults at risk of financial mismanagement, even absent formal cognitive impairment. Monitoring subjective cognitive concerns together with financial interference could enable early intervention. This brief measure may be useful in clinical settings as a screening tool, and in large national surveys.