Looming crisis in nursing home care

Rural and small market areas continue to experience growing “nursing home deserts,” an increasing crisis for local officials and beneficiaries facing access issues.  The problem is two-fold. The closures stem from a mix of staffing shortages and lackluster Medicaid reimbursement—with the latter causing the first. Too many people think that Long-Term Care is free from the government–and it is once you have spent everything you own down to under $2000 and cashed in your life insurance (requirements for married persons differ slightly). Then they find the “no vacancy” sign lit up at assisted living facilities, and the nursing homes closing their doors due to losing money on Medicaid residents have no room either.
It used to be “Buy LTC insurance to not go broke”, but now it’s “Buy LTC insurance so you will find a place to receive care.”

Have you thought about how you will pay for assistance when you need it?  Contact Romeo Raabe, the Long-Term Care Guy to discuss alternatives. There are solutions for almost every situation.  Call 920-362-7663 or email [email protected] .

Will you be in the news?

Will you be in the news?
Will you be in the news?

Will you be in the news?

Many of you have read about or have seen news stories of seniors being evicted from a long-term care facility. It is a tragedy that some people spend down their savings paying for care at the end of life. Medicaid (government welfare) can help these folks, but it pays the facility far less than the cost to care for them.

You can’t lose money on every customer and make up for it in volume!

Smart people buy insurance that pays for this care.  Why not insure for end-of-life nursing care, and leave your savings to heirs?

Call TheLongTermCareGuy.com at (920) 884-3030 and learn about Long Term Care insurance.

Americans are focused on the wrong retirement risks

Center for Retirement Research at Boston College
Center for Retirement Research at Boston College

Center for Retirement Research at Boston College

A study from the Center for Retirement Research at Boston College found that Americans cite market volatility as the top retirement risk, while longevity and health care costs actually present bigger risks. The study concluded that Americans need more education about retirement risks, as well as a source of secure income and long-term care planning.  To view the article, click on the link below and then on “take me to the story”.

Research: Americans focused on wrong retirement risks

Has your planner addressed the risk of spending an extra $50,000 to $90,000 every year for 3-5 years when your health changes?  If not, or even if your planner did, remember that they specialize in investing money.  I am an expert in planning for and dealing with Long-Term Care.  Investigate with an expert and get the best advice and solutions available.  Visit my website at www.TheLongTermCareGuy.com or call (920) 884-3030 to schedule your time to investigate

How to Pave a Smooth Path for Marriage in Your Golden Years

We have LTC Tips to Help Plan for Senior Marriage in Your Golden Years

This article is posted with the permission of the author, Lydia Chan.

After her mother was diagnosed with Alzheimer’s, Ms. Chan struggled to balance the responsibilities of caregiving and her own life. She founded AlzheimersCaregiver.net as an online resource for fellow caregivers and seniors. In her spare time, Lydia writes articles about a range of caregiving topics.

There is one additional point that I would add to this article: if one person in the new marriage needs care, the other spouse’s assets must go to pay for that care.  Many people do not realize that a prenuptial agreement does not protect either partner in the event that one of them might need Medicaid to pay for their care. Medicaid does not recognize prenuptual agreements when determining whether the individual qualifies for care.

 

It’s not always easy to find love in your golden years, but it can be rewarding when you do. If you have a special someone in your life and are planning to tie the knot, the two of you have some conversations and decisions ahead of you.

If you have been married before, you understand what a big step it can be to join families, finances, and other things. No, you shouldn’t let potential problems and challenges prevent you from marrying your sweetheart, but you should plan carefully and communicate with your soon-to-be spouse to ensure you stay on the same page. Here are some practical tips to help you prepare for marriage as a senior!

Discussing Insurance and Long-Term Care

Another topic to discuss with your soon-to-be-spouse is health, life, and long-term insurance policies, all of which will be crucial through your golden years. If the two of you do not already have policies established, you will need to determine how to set these things up. Whatever your needs, visit The Long Term Care Guy to learn strategies that can help you navigate long-term care.

Combining Finances

First, consider the implications of combining your finances. While it’s a practical way to demonstrate trust in your relationship, it can also cause problems if you and your spouse are not in agreement. You likely come to the marriage with your own philosophies and spending habits, meaning you must talk through any differences to ensure a smooth translation.

Making Plans Together and Starting Your Own Business

One aspect of any healthy marriage is that the couple can dream together, and that doesn’t change when you are older. Perhaps you want to travel the country or the world together. Maybe one or both of you would like to see your grandchildren more often. Perhaps you could find a hobby both of you would enjoy doing each week. And it could even help to talk about what you would like your daily lives to look like together.

One idea is to start a company together. Along with giving you the opportunity to spend more time around each other, starting a business in your golden years could help you to increase your income and build your wealth. Of course, at least one of you will need an entrepreneurial drive for it to work because it requires a lot of hard work, dedication, and perseverance.

If you choose to start a business with your significant other, you will need to learn how to set up a new company and market your product or service well so that people know about it. Carefully formulate a marketing and sales plan while also choosing a business name and structure, determining whether you need funding, and registering your business.

Determining Where to Live

Even if both you and your significant other already own homes, you will need to have a discussion about where you will live once you wed. Communicate openly from the beginning to determine whether you want to move into one of your homes or purchase a new one together.

Property preferences, family situations, jobs, and many other factors can influence your decision. Many older couples find inspiration from searching for and buying a new home together because it is a way to mark new beginnings.

If you are blessed enough to find love as a senior, getting married could naturally be the next step. But you will need to carefully plan and communicate with your new spouse as you make important decisions in the days and months ahead. The key is to stay on the same page so that you can set the stage for a loving and fulfilling marriage for both of you.

Constant drumbeat of costs often overwhelms caregivers

An article in the Wall Street Journal details how an AARP caregiving expert ends up broke!
An article in the Wall Street Journal details how an AARP caregiving expert ends up broke!

An article in the Wall Street Journal details how an AARP caregiving expert ends up broke!

An article in the Wall Street Journal details how an AARP caregiving expert ends up broke and $120,000 in debt trying to care for her parents in need of long-term care. (“Caring for Older Relatives is So Expensive That Even AARP’s Expert Filed For Bankruptcy”, Wall Street Journal, 2-22-22). The article reads, “On average, caregivers spend 26% of their personal income on caregiving expenses, according to a 2021 AARP study.”

Caregiving is becoming more expensive because people are living longer with more complicated medical needs, and hiring help costs more.

According to a leading long term care insurance company, the median annual cost of in-home care rose to $54,912 in 2020–an 18.5% increase from 2016.

The majority of Americans cannot afford to cover the costs of long-term care out of income and savings without purchasing insurance for these costs. Relying on family can bankrupt family members, leaving them with no way to cover their own retirement.
Many people wrongly assume Medicare will cover long-term care costs and are shocked when they learn they are personally liable for these bills. Medicaid, a welfare program, will take over but only once you have spent down your own assets to impoverishment. Any gifts given in the 5 years prior to Medicaid will make you ineligible for even that.

Once care is needed, it is too late to qualify for long-term care insurance– it must be in place while one is still healthy enough. Costs rise each year you wait, so investigating and purchasing at younger ages makes it more affordable.

Getting advice from an expert who understands long-term care and can appropriately size coverage can make this insurance affordable.

Contact Romeo Raabe to Talk to An Expert
Phone: 920-884-3030
Email: [email protected]
Website: www.TheLongTermCareGuy.com

 

 

Financial Planning for Alzheimer’s Disease

This article is posted with the permission of the author, Lydia Chan.

After her Mother was diagnosed with Alzheimer’s, Ms. Chan struggled to balance the responsibilities of caregiving and her own life. She founded AlzheimersCaregiver.net as an online resource for fellow caregivers and seniors. In her spare time, Lydia writes articles about a range of caregiving topics.

Financial Planning for Alzheimer’s Disease

Alzheimer’s disease is a debilitating illness that largely affects seniors. The cause of the disease is unknown; what we do know is it is a degenerative neurological disorder in which the death of brain cells causes cognitive issues including memory loss and mental decline. Alzheimer’s is the most common type of dementia making up 60 to 80 percent of all cases in the United States. Five million Americans had Alzheimer’s disease in 2013 and that number is expected to double by 2050.

At first, Alzheimer’s symptoms are mild and a patient can continue living on their own with minimal supervision and care. However, symptoms of Alzheimer’s become more severe with time. These symptoms include:

  • Language difficulties
  • Memory loss
  • Problems with attention
  • Loss of orientation
  • Mood swings
  • Personality changes
  • Impaired movement
  • Depression, anxiety, irritability, or apathy
  • Low energy
  • Inability to recognize others
  • Loss of bodily control

Covering the Costs of Alzheimer’s

Because the symptoms of Alzheimer’s get worse with time, patients eventually need long-term health care in addition to their normal medical routines. While the federal insurance program Medicare covers many medical expenses for seniors, it is not a comprehensive plan. Even Medicare Advantage plans, like those offered by insurance companies such as Humana, do not cover many costs associated with Alzheimer’s. While Advantage plans offer additional benefits including coverage for prescriptions, dental, vision, fitness services, caregiver support and a 24/7 nursing advice line, they do not cover long-term or custodial care costs.

Because of this, those with Alzheimer’s and those who are at risk must establish alternative funding plans for their long-term care needs.

Selling a Home

For some people, selling their home is the best option for covering the cost of long-term care. This can be a complicated process, one that requires the help of a real estate professional to ensure the home sells for what it’s worth. There are also many important documents that are required to sell a home, which the seller will need to assemble before closing. However, selling the home can help cover the cost of long-term care, so it’s worth the time and effort it takes to put a home on the market.

Life Settlement

Seniors with life insurance policies can sell them for a cash payout that can be used to cover health care costs associated with Alzheimer’s disease. Selling this kind of insurance policy is a transaction called a life settlement and can be done through a trustworthy broker. Many seniors choose to sell their life insurance policies once they no longer have to worry about protecting their loved ones against income loss. Life settlements are also convenient for those who can no longer afford — or simply no longer wish to pay — for monthly or annual premiums. It’s also a popular option for people who want to supplement their retirement savings with term life settlement policies that are about to expire.

Long-Term Care Insurance

Long-term care insurance policies are specifically developed to cover the high costs of custodial care. However, these policies are pricey, especially if you wait until later in life to invest in one. Furthermore, once an individual is diagnosed with Alzheimer’s, they are no longer able to apply for long-term care insurance coverage. So those who already have a diagnosis must find alternative means of funding for care.

Health Savings Account

A Health Savings Account (HSA) allows individuals and families with high-deductible insurance plans to squirrel away cash for health care costs tax-free. Health savings accounts earn interest and funds can be withdrawn for various uses as long as they are healthcare-related. A big advantage of HSAs is that funds remain accessible to account holders at all times and can even be used for non-health care related purposes — they simply have to pay taxes on the amount if done.

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Alzheimer’s disease has many difficult symptoms that make it impossible for the patient to live on their own in the later stages. Because Medicare and Medicare Advantage plans lack coverage for long-term care, those at risk for Alzheimer’s must plan to cover these steep costs. If undiagnosed, long-term care insurance is an option — though not a cheap one. Seniors with life insurance can sell a policy for a cash settlement that can be used to pad retirement funds and pay for long-term care needs. Finally, a health savings account is a great option for those with high-deductible insurance plans who want to save for long-term care needs while still having access to their money.

 

For more information on what you need to know about long-term care, make sure you read the other articles provided by The Long Term Care Guy.

156 Wisconsin assisted living facilities closed through September 1 of this year

381 Assisted Living Facilities Closed from 2019 through this September!
381 Assisted Living Facilities Closed from 2019 through this September!

381 Assisted Living Facilities Closed from 2019 through this September!

381 assisted living facilities closed from 2019 through this September!

WHY?  They accepted Medicaid (welfare) whose reimbursement is less than the cost to care for their residents.

If you lose money on every customer, can you make it up with volume? Of course not, it just gets worse!

If you need Medicaid to pay for your long term care, the assisted living facilities that want to stay open and in business will reject you.  The only choice you will have is the one place you definitely do not want to go – simply because you ran out of money – the nursing home.  They have to take Medicaid since they accept Medicare for short recovery stays following 3+ days inpatient in a hospital.

So, can your retirement income handle an extra bill of $50,000 to $90,000 per year?  If not, why not insure for this bill that affects so many of us.  Health and human services (HHS) says by the time we reach age 65, 70% of us will end up needing long term care.  If you do not have the money to pay for this care, you can insure for it, or run out of money and try to find a nursing home that will accept you.

Long term care insurance does not have to be expensive – if chosen appropriately.

I just put in place coverage for a 64 year old female, giving her $9000/month for a year of facility care PLUS $1200/week for a year of home care, a total of $170,400 of money to pay for care, for a monthly premium of $147/month.  That is less than most car payments.  Why go broke, leave nothing for heirs, and be forced into a nursing home once you find one that will accept you when insurance could pay the bills for you?

Contact www.TheLongTermCareGuy.com at 920 884 3030 to investigate this insurance for you and the ones you care about (like perhaps your parents).

Family-Provided Care Can Work–Sometimes

Family-Provided Care Can Work--Sometimes
Family-Provided Care Can Work--Sometimes

Family-Provided Care Can Work–Sometimes

The September, 2021 issue of the journal Health Affairs features a study that family-provided care (spouse or adult children) for dementia greatly diminishes the chances that the individual will need to enter a nursing home. However, full time caregiving will burn out the support team. Family simply cannot be expected to provide 24-7 care without help.

That is why I offer several home care policies that will pay for caregivers to come into the home to provide that care, while giving family members some relief. These home care policies are much less expensive and far more easily obtained – despite health problems already on record – than traditional long term care insurance policies.  However, they must still be obtained before the care becomes necessary.

You can easily burn out your loved ones with family Family-Provided Care

Don’t burn out your family or other loved ones by becoming a total burden on them.  They will surely help, but give them a break and provide a helping hand.  Investigate now, while this help is available.

Contact Romeo Raabe www.TheLongTermCareGuy.com at 920-884-3030 to investigate options.

Care from Family Greatly Reduces the need for a Nursing Home

Care from Family Greatly Reduces the need for a Nursing Home
Care from Family Greatly Reduces the need for a Nursing Home

Care from Family Greatly Reduces the need for a Nursing Home

The September, 2021 issue of the journal Health Affairs features a study that family-provided care (spouse or adult children) for dementia greatly diminishes the chances that the individual will need to enter a nursing home. However, full time caregiving will burn out the support team. Family simply cannot be expected to provide 24-7 care without help.

That is why I offer several home care policies that will pay for caregivers to come into the home to provide that care, while giving family members some relief. These home care policies are much less expensive and far more easily obtained – despite health problems already on record – than traditional long term care insurance policies.  However, they must still be obtained before the care becomes necessary.

Don’t burn out your family or other loved ones by becoming a total burden on them.  They will surely help, but give them a break and provide a helping hand.  Investigate now, while this help is available.

Contact Romeo Raabe www.TheLongTermCareGuy.com at 920-884-3030 to investigate options.

Free Post Covid Visit

Schedule Your Free Post Covid Visit Today!

If anyone has any questions or confusion on dealing with long term care, or the insurance which pays for it, I am here as a reference and to help.

I am 71, have been helping folks for 30 years with this, and now this is my giving back.

There is no cost to visit and get ideas that may be helpful or save some of your nest egg.

www.TheLongTermCareGuy.com in Green Bay.  If you’d like to come in, please call 884-3030 for an appointment.  I’ve had both my shots and have HEPA filtration with UVC light in my conference room.

Romeo Raabe