Legal Relationships Relationships recognized in a court of law are adoption, guardianship, certification as a foster parent, and powers of attorney. Custody agreements vary on the degree to which a grandparent wants to be involved in the discipline, physical and financial care, and educational process of the child. This is often a difficult decision because a grandparent must admit that their child is an unfit parent. Guardianship may be either permanent or temporary. Certification as a foster parent qualifies the caregiver for financial benefits on a level with other foster parents.
Powers of attorney allow grandparents only to make decisions regarding the grandchildren.
They do not transfer legal custody. The legal status of the arrangement often can cause problems from being eligible for assistance to enrolling a grandchild in school. Grandparents may be able to receive Social Security Retirement Benefits, if they have legal custody of grandchildren under the age of 18. Another key issue for grandparents is finding health insurance coverage for the grandchildren. Grandparents who are retired and on Medicare may need to buy an individual policy, which can be expensive.