Planning ahead can help relieve the financial stress of health care.
Every year you are getting older.
If you are fortunate enough to live a long life, you may need assisted living.
Assisted living does not come cheap.
Have you considered how you might pay for such an expense?
Do you believe you are invincible?
You are not alone.
According to a recent WRAL post titled “Expect Medicare to cover assisted living? Think again,” only 37 percent of Americans believe they will need care.
Seventy percent will need care.
How much will this care cost?
It depends on the type of care.
You could expect to pay $12-$18 an hour for independent, informal care.
A Certified Nursing Assistant (CNA) will cost more at $20-$24 an hour—or more.
Round the clock care from an agency will on average cost between $14,400 per month or $172,800 per year.
For assisted living, the cost depends on a few factors.
A shared room would be about $2,500 per month and $7,500 per month.
This would be between $30,000 and $90,000 for a year of care.
Most people stay longer than a year.
The average stay is 28 months.
Skilled nursing often comes after assisted living.
Four or five years of care could be between $250,000 and $450,000—or more.
As you can see, the expense can become significant.
Is this covered by Medicare?
A small portion.
Medicare will only cover medical care costs.
This means only about 12 percent will be covered.
Set yourself up for better financial success.
Start planning and saving now.
You may want to consider consulting with an elder law attorney.
To locate and research such attorneys in your area, visit the website of the National Academy of Elder Law Attorneys.
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: WRAL (September 16, 2017) “Expect Medicare to cover assisted living? Think again”