It’s likely that you haven’t incorporated long-term healthcare into your financial strategy. Two-thirds of baby boomers have yet to establish a plan for potential long-term care requirements.[1]
Long-term healthcare transcends the usual scope of routine doctor’s appointments. It’s a form of medical assistance where you receive help with everyday activities such as eating and bathing. The nature of this care varies depending on the individual and their specific circumstances, but regardless of the requirements, the expenses that come from this kind of care can accumulate significantly.[1]
Why is it that individuals don’t prepare for this kind of cost? The truth: Because they feel perfectly healthy right now. You don’t need help to stroll down to your mailbox. You’re managing your medications just fine without any aid. You’re not struggling to prepare dinner each evening. However, have you considered what might happen two or three decades down the line?
Based on a study in 2020, close to 70% of individuals aged 65 and above will at some point require long-term care services or assistance.[2] 70% is a staggering figure. It indicates that over two-thirds of retirees will require long-term care during their lifetime.
Long-term care can significantly deplete your savings. The average cost for a year’s stay in a nursing home across the country exceeds $100,000.[1]
Combining all these statistics results in an important conclusion: many individuals will eventually require long-term care, yet surprisingly, not many actually prepare for this eventuality. Plus, it’s worth noting that the associated costs can be quite substantial.
While this prospect may initially appear daunting, there are indeed ways to alleviate the financial strain of long-term care. A variety of tactics and plans are available that could potentially lighten the load of long-term care and safeguard your finances. A mix of resources such as insurance policies, familial care support, and extra savings can contribute to offsetting a portion or even the entirety of the expenses tied to long-term care.
If you haven’t yet incorporated long-term care into your retirement or financial planning, Click HERE to connect with our financial professionals at Haven Financial Group to get started on making the most of your retirement savings. Our professionals are equipped to help you navigate the many aspects of a comprehensive strategy, including long-term care. So, what are you waiting for? Contact us today!
