Most people equate the cost of long-term care with a high price. This is a common misconception that is enough to turn people the other way and refuse to think about this issue again. However, they did not know that their price can be reduced simply by devising a plan that involves what course of action to take if any kind of need for care arises.
Long-term care is everyone’s problem. Most will require it in one way or another and care services do not have an economic cost. If you face this need unprepared, the impact on your finances and quality of life will be quite drastic. This can result in a depleted nest, a degradation in your way of life, and loved ones leaving their careers prematurely to care for you. Obviously none of this is on the list of things you want to happen in the future. That’s why it pays to plan.
What about government programs, you may ask? The government is in an ongoing effort when it comes to improving the nation’s long-term care system. However, current programs are not yet substantial enough to provide quality care services.
Medicaid is the main government program that addresses people’s long-term care needs. However, not everyone is eligible for its benefits. First, you have to meet your asset rating, which is very low. Your annual income must not be more than $30,000 in a year. Unfortunately, some people resort to spending and liquidating their assets just to qualify for Medicaid.
However, qualifying for Medicaid still does not guarantee that you will get optimal care, since this program has a designated budget. The larger the number of citizens that share that pool, the lower your chances of receiving comprehensive benefits.
Cut the cost of long-term care insurance
If you’re still in good health, years away from retirement, and earning a decent income, then you better start buying a policy now. Owning a plan is a sure way to avoid the impacts of long-term care expenses on your life in the future. The best time to start securing the years ahead is today.
Currently, the annual cost of home care averages $80,000 per year. Meanwhile, skilled nursing care rates range from $80,000 to $125,000. A policy can cover these expenses for you and your savings will remain intact and intact.
Planning is the key if you want to reduce your long-term care expenses. Start early and get your family involved. It is advisable that you do it when you are still earning regularly. Furthermore, add your loved ones to the equation, as this will also be your concern. Determine their possible needs and how they can help. Will they be the ones providing care or will a paid caregiver be hired? Furthermore, are they willing to help financially? These are some of the questions you need to establish and discuss as a family.
Once you have discussed it thoroughly with your family, you can now present your case to experts such as an elder care attorney or insurance providers. They can help develop whatever you have into a more substantial, clear, and specific plan.
The truth is, the cost of long-term care isn’t as terrible as you think. In fact, it can be tailored to your exact needs and what you can really afford. All it takes is proper planning, a good strategy, and equipping yourself with the right kind of information about long-term care.