The recommendation came from Newcastle Building Society's Bob Mottershead after a survey commissioned by his organisation found that 77 per cent of adults do not have any involvement in their parents' finances.
Mr Mottershead said this meant those families may experience several problems, including how to finance their parents' retirement if they had been unable to invest sufficient money during their working lives.
It may also lead to confusion if control of an elderly person's finances has to pass to a relative.
"[Financial planning] could make things easier for both children and parents in the long run, as there may come a time when parents are no longer able to manage their finances independently," warned Mr Mottershead.
Among the other preparations families should consider for old age are making wills and ensuring they are kept up to date, together with thinking about the possible need for lasting power of attorney.
