I participate in a networking group with a group of professionals across industries: legal, financial, insurance, home care, fiduciaries, funeral planning, assisted living, accounting and tax mitigation. We meet monthly to review live examples of cases of people who experience life’s realities and gather to provide input as to how we may in our professions help prevent catastrophic loss through better planning and preparation.
This month our topic covered post-retirement health needs. Our exchange was lively and insightful. It was also humbling. Humbling as the uncertainties that are present with the current programs that currently exist require funding and staffing to provide the level of care and services we know today.
What variables come into play when we attempt to consider how best to protect ourselves and our loved ones considering post-retirement health needs?
Do you remember the movie Rocky? Rocky Balboa had a classic quote, “Time takes everybody out, time’s undefeated.” Some odds, right?!
Our group began our discussion considering these facts:
- The average cost for a one-bedroom unit in an assisted living facility is approaching $42,000/year
- Medicare is specific about what kinds of long-term care it pays for.
- Today, Medicare only covers stays in skilled nursing facilities and hospice care under strict conditions
- For Skilled Nursing Facility (SNF) coverage, a beneficiary must be admitted to a hospital for at least three days and then discharged with a condition that requires skilled nursing care
- Costs are currently paid by Medicare under these circumstances for the first 20 days, then charges are $161/day for every stay up to 100 days
- IF one is out of a SNF for more than 60 days, SNF resets for an additional 100 day admission
- Medicare today covers most types of costs associated with hospice coverage once a beneficiary has reached a terminal illness diagnosis and is projected to live no longer than six months
Is long-term care financing currently a part of your retirement planning? Long-term care costs are a significant consideration on our financial picture in retirement. How will you address the needs for your post-retirement health needs?
Every decision begins with a small step. It’s never too early to consider this variable in your overall financial needs in retirement. Consider your options. Breathe easier knowing you are considering you, your lifestyle. Your decisions today impact tomorrows to come.
If you are curious about contingency planning at home and work and why this may benefit you, I invite you to contact The Living Planner. We proactively help you assess your situation in business and home and explore ways for you to protect what is important to you by asking questions. What is your risk? Your plan? Are you ready to be ready?
Contact us to learn more about how we work with individuals, business owners and employees via Email or online @ The Living Planner #LifePlanningSimplified #CareForPeopleCareForBusiness