When it comes to long term care, most people focus on remaining in their homes, remaining healthy and well-cared for and being able to sustain their lifestyle financially. Experts agree that planning for the surprises that life brings is as important as building your nest egg.
Long term care can be expensive, with 70 percent of those over 65 needing it. Believing that government subsidies will take care of the financial burden is clearly not a reality.
There are five reasons that you need to have a long term care plan. The first is that you will probably need it and the second is that it can be expensive. The third reason to have a plan is that you can have control over your independence. Another reason is to protect your family. And finally, government subsidies only pay for long term care under specific situations.
Long term care provides assistance in everyday activities and can be administered at home, at adult day care or in a nursing home.
People are living longer and, while most don’t want to think about it, it’s always best to consult a professional who can guide you in the steps needed to ensure you or a loved one are well cared for in their later years. If you plan now, your savings need not be depleted by unplanned long term care.
The daily rate for a nursing home is $230. If you stay for one year, that brings your total to $83,950. While assisted living is not as expensive, it can cost up to $3,450 a month. That is approximately $41,400 in a year. At home care is around $44,479 a year. With planned increases over time, you can see that prior planning is needed.
Long term care planning can give you independence and if you stay well-informed and contact a professional, you may not need to panic later and get pushed into a situation you’re not prepared to afford.
Knowing the reasons for long term care planning can give you the ability to discuss your needs with an experienced individual. That person will have your best interests in mind.
Source: Naplesnews.com, “Put long-term care into your financial planning” No author given, Apr. 22, 2014