For America’s 77 million baby boomers, paying future long-term care costs remains their largest looming expense. With longevity increasing, according to the Bureau of Census, by 2020 the number of Americans 85 or older will double to seven million and double again to 14 million by 2040. According to US News & World Report, by 2050 we can expect for the first time in our history to have about one million Americans over age 100.
Long-term care can be very expensive. Nursing home costs in California this year average $210 per day and the average stay is 2.5 years per the CA Dept of Health. Californians have always prided themselves on their independence. With health care costs on the rise it is estimated that 40 percent of all Americans over 65 and 60 percent over 85 will eventually need some type of long-term care, according to AARP.
Today one in four households in California are involved in care giving per the CA Department of Aging and half are juggling a job. Nearly 85 percent of home care is provided mostly by family; 29 percent daughters and 23 percent wives. The average woman spends 17 years caring for children and 18 years caring for an elderly relative.
Here are some benefits long-term care insurance can provide you:
• You have a plan in place for your care that can offer choices and control.
• You can retain your dignity and independence.
• You can have options like home care, adult daycare or assisted living.
• You may be able to stay at home longer.
• Your loved ones can carry on a more normal life.
• You may be able to leave some of what you have worked so hard for your family.
Today with an average annual nursing home stay costing $76,650; this looming expense can quickly deplete a lifetime of saving and investing in a very short time. Contact a financial advisor or insurance professional to help you evaluate your needs and options.
For more information contact Rebecca Robins, CPA/PFS, CFP®, CA Insurance Lic#0D75745. Securities offered through Associated Securities Corp. (ASC), member FINRA/SIPC. Advisory services offered through Associated Planners Investment Advisory, Inc (APIA), ASC, David S. Reinders, CFP®, Inc., Registered Investment Advisors. David S. Reinders, CFP®, Inc. is not affiliated with ASC or APIA.
For more information, please call 661-222-2331 or visit 25129 The Old Road, Suite 105 in Stevenson Ranch.