December 12, 2018

Filling the Medicare Gap: Funding Options for Long-Term Care

Filed under: Health Insurance,Long Term Care,Medicaid,Medicare — Tags: , , — seniorlivingguide @ 2:31 pm

Courtesy of Janet Campbell

A rapidly-aging population and the ever-increasing cost of care means that a lot of Americans will be forced to figure out how to pay for long-term care. Those who Filling the Medicare Gapdelay preparing and planning could be in for a difficult time and high debt levels: the average cost of a private nursing home room is $75,000 annually, and the median cost of engaging a licensed home health aide is about $152 a day. It is projected that these costs will only continue to climb as the Baby Boomer generation ages, which means that now’s the time to begin structuring a financial plan. The cost of delaying is simply too high. Here are a few options to consider as you look to the future.

Medicare Advantage plans

Seniors are all too aware that the older we get, the more our healthcare costs tend to rise. For that reason, many people 65 and older have a Medicare plan, but unfortunately, it won’t cover all of your medical expenses. That’s a big reason why 1 in 3 Medicare recipients have a Medicare Advantage (or Medicare Part C) plan to help pay for some long-term care costs, like dental and vision care, as well as prescription medications. If you already receive Medicare, it’s worth your while to look into an Advantage plan, especially because some of them offer $0 premiums. If you’re getting close to age 65 or are currently eligible for Medicare, be aware of enrollment dates and requirements so you’re prepared ahead of time; depending on the type of plan you get, your disability status and your employment history, you initial sign-up date will vary.

Long-term care insurance

This is one of the more obvious alternatives, but it’s often considered a cost-prohibitive option by many people. Long-term care insurance does become more expensive the longer you wait to enroll (for example, a yearly premium may cost you approximately $2,000 if you go this route at age 55). Many financial advisers recommend not waiting so long, and that there’s nothing wrong with taking out a policy in your 30s or 40s, especially if it’ll save you hundreds of dollars a year in premiums.

Insurance rider

A life insurance policy rider can give you early access to death benefits to help pay for long-term care. This allows you to access benefits early if you meet certain criteria, such as being diagnosed with a cognitive impairment. Benefits paid out early are deducted from the payout to beneficiaries after the policyholder’s death. Also, be aware that you may be able to sell a life insurance policy to free up cash for long-term care expenses.

Personal savings

A 2015 Department of Health and Human Services study found that most Americans required fewer than two years of long-term care, and that saving $70,000 could be sufficient to meet the need. Setting aside part of your investment earnings or long-term, interest-bearing savings can carry you a long way toward meeting that financial objective, and it’ll keep you from having to come up with an annual or monthly premium payment.

Health savings

If you have a high-deductible health insurance policy, you may be eligible for a health savings account (HSA) to help defray the cost of rising long-term health care expenses. HSA contributions roll over from year to year, and withdrawals can be made tax free as long as you use them to pay for healthcare expenses – that includes long-term care insurance payments. Contributions are tax deductible up to $3,450, and nearly double that if you have a family plan.

Medicaid

Medicaid is an alternative to Medicare, which does not pay for long-term care. Medicaid covers long-term care expenses if you’ve gone through all other financial resources, though eligibility differs from state to state. One problem is that you’re limited as to where you can go if you require nursing home care, since not every facility accepts Medicaid.

Long-term care can be prohibitively expensive, but that doesn’t mean it has to put a strain on your financial resources. Preparing early, whether that means buying long-term care insurance or starting a health savings account, is an excellent way to be ready if you or a loved one needs long-term care.

Share

December 7, 2018

An Incredible Way To Give This Holiday Season – Adopt-A-Senior

Filed under: Seniors,Volunteering — Tags: , , — seniorlivingguide @ 10:54 am

We’re in the throws of the holiday season, everyone is busy planning for company, Help Seniors During The Holidaysshopping, decorating, work obligations, family events, perhaps traveling…and the list goes on.

Sometimes with all that we have brewing during the holidays it’s difficult to make time to give back, but did you know that over 7 million people over the age of 65 fell below the Supplemental Poverty Measure in 2017 and that number is likely to increase this year?

There are plenty of opportunities to give back to seniors in your community during the holidays, here are a few to consider –

Adopt-A-Senior

Adopt A SeniorFounded in 2014 this New Jersey based non-profit programs’ mission is to provide gifts to as many Seniors living in long-term care facilities as possible. For a annual $50 donation the organization will select a Senior(s) on your behalf and ensure that the individual(s) receive their gifts throughout the year. All gifts will be provided to your Senior in your name by the organization. Gifts include: Holiday Gift, Birthday Gift and 2 other Seasonal Gifts during the year.

If you are in the NY/NJ Tri-State area, you can opt to personally shop and hand deliver your gift as part of their Wish List program.

Adopt-A-Native-Elder

Adopt A Native ElderThe poverty rate for Native Americans continues to rise and many need assistance beyond what the reservation’s elder care programs can address. This program, founded in the 1980’s by Linda Myers, focuses on Elders in the remote portions of the Dine’ (Navajo) reservation.

Donors provide $200 annually, covering the cost of a year’s worth of food for an older adult. The program also provides Navajo elders with medicine, clothing, firewood and other essentials. Once you sign on through this Utah-based nonprofit, you’ll receive a photo of the elder you’re paired with, along with his or her contact information, and you’ll be encouraged to stay in touch.

If you are in the Salt Lake City, Utah area, you can volunteer at their warehouse packing food and supplies or with activities such as a Food Run or The Annual Navajo Rug Show & Sale. If you can’t make a donation or attend an event, you are encouraged to share their mission on your social media outlets to help spread the word.

Be-A-Santa-To-A-Senior

This Home Instead Senior Care program partners with local non-profit and community organizations to identify seniors who might not otherwise receive gifts this holiday season. The company then works with local businesses and retail stores to help facilitate the purchase and distribution of gifts by placing trees and ornaments within their various locations. Each senior’s gift requests are written on a Be a Santa to a Senior bulb.

Since the program’s inception in 2003 over 1.2 million gifts have been delivered to deserving seniors.

The program works like this – Find a participating Be a Santa to a Senior location using the search tool on their website. Remove bulb with senior’s gift request from the tree. Purchase the requested gift(s) listed on the bulb. Place bulb and unwrapped gift(s) in the designated box. Volunteers are also needed to collect, wrap and deliver gifts.

There are many ways to touch a senior’s life not only at this time of year, but year round. If at all possible, take time to make someones life just a little brighter this holiday season. It may just be the best gift you’ve ever given.

Share

 

Home | Privacy | Disclaimer | Advertising | Media Kit | Definitions | Help | Contact
Copyright ©2009 Fairfax Publishing Company, Inc. All Rights Reserved.
The Nations Premier Online Senior Housing Resource

  • RSS
  • Facebook
  • Google+
  • LinkedIn
  • Twitter
  • YouTube