What can I Expect to Pay for Long-Term Care?

The cost for care is continuing to increase.

Long-term care is not cheap.

The cost of long-term care insurance is also high.

Will the cost of long-term care insurance be worth the investment?

According to a recent ThinkAdvisor article titled “15 Most Expensive States for Long-Term Care: 2017,” long-term care costs are constantly increasing.

The Genworth Financial study provides a look at how much these costs have increased in the past year.

The results?

Payments for licensed homemakers increased 6.17 percent.

The price of a helper who cooks, runs errands, and cleans grew 4.75 percent.

Even though the cost has increased, the price is still on the lower end of care costs.

You will pay about $21 for homemaker care and $22 for licensed homemaker care.

How much do adult day care options cost?

The price averages $70 per day after an increase of 2.94 percent.

What about assisted living facilities?

The median month rate is $3,750.

This is an increase of 3.36 percent while nursing home costs increased by 5.5 percent for a private room.

Often times, these services are paid by caregivers.

In fact, caregivers spend $10,000 on average for these expenses.

When caregivers do this, it affects various aspect of their lives.

They will have to change their quality of living.

They often pull from their own retirement savings or limit the amount they allocate to saving for retirement.

Income can also be affected as providing care has career implications.

Finances aside, there is an emotional toll.

It can have a negative impact on family relationships.

Investing in long-term care insurance could help protect both finances and relationships.

This is priceless.

In fact, I practice what I preach, at least in this regard.

Gretchen and I acquired our long-term care insurance nine years ago.

Remember: “An ounce of prevention is worth a pound of cure.” When making your financial, tax and estate plans, do not go it alone. Be sure to engage competent professional counsel.

For more information about estate planning in Overland Park, KS (and throughout the rest of Kansas and Missouri), visit our estate planning website and be sure to subscribe to our complimentary estate planning e-newsletter while you are there.

Reference: ThinkAdvisor (October 2, 2017) “15 Most Expensive States for Long-Term Care: 2017”