Planning Long-Term Care

"70% of people age 65+, will require long-term care for an average of 3 years."

- 2019 Genworth Financial

Monthly

Cost of Care 

How Much Will You Spend on Long-Term Care Monthly?

Colorado

Home Care

Assisted Living

Nursing Home

2020*

$5,720

$4,850

$10,139

2040*

$10,331

$8,760

$18,312

 
  • The average need for long-term care for women is 3.7 years whether at home, in an assisted living community or in a nursing home. For men its 2.2 years.

 

  • If this care averages $8,000 per month; that is over $350,000 for women and over $200,000 for men.

 

  • Remember this is based on an average need for care.

 

  • What if you or a loved one requires 5 years of care or even 10 years of care?

 

  • These costs can quickly erode your savings and retirement assets and can be devastating to your whole family.

 

 

*Source: Genworth

 

Understanding Medicare 

Medicare will help pay for a short stay in a skilled nursing facility, or home health care if you meet the following conditions:

 

  • You have had a recent prior hospital stay of at least three days.

 

  • You are admitted to a Medicare-certified nursing facility within 30 days of your prior hospital stay.

 

  • You need skilled care, such as skilled nursing services, physical therapy, or other types of therapy.

 

If you meet all these conditions, Medicare will pay for some of your costs for up to 100 days. "Medigap" or supplemental health insurance may pay a portion of the difference but neither is intended to pay for your care for an extended period of time.

 

  • You pay 100% of the costs for each day you stay in a skilled nursing facility after day 100.

 

  • The average number of days Medicare pays for care is only 21 days.

 

  • You cannot count on Medicare, Medigap, or supplemental health insurance to pay for your Long-term Care.

 

Legal Documents  

It's important to have the correct legal documents in place when planning for care; especially if planning for Medicaid benefits. 
 

Powers of Attorneys –

 

Whom do you want as your decision-maker? 

 

  • Who should make decisions for you if you cannot?

 

  • Choose someone who will understand and be able to carry out your wishes even if they include stopping life-sustaining treatment. 

 

  • You should also name a backup person to make decisions, in case the first person is not able to do so. 

 

  • Does your Power of Attorney permit your decision-maker to help preserve your assets if you can’t? What about protecting the equity in your home? 

 

 

Many Powers of Attorney do not adequately protect you

 

  • Not having a proper Power of Attorney can end up costing your family thousands of dollars, or more.

Wills –

 

If you don’t have one you probably need one. A Will provides you with the power to determine who receives your property upon your death. Without a Will, someone you don’t know will make that decision for you.

 

Trusts –

 

If you have Trust, how will this affect your ability to receive Long-term care benefits? 

Community Services

It’s wise to think now about how your community will support your needs as you age and require long-term care services.
 
In-home and community services can help you live at home longer. The following are some of the services and supports that may be available in your area:
  • Convenient and affordable public transportation
 
  • Someone to drive you on errands and to appointments
 
  • Help with housing and yard chores
 
  • Help with personal care
 
  • Home Delivered Meals
 
  • Senior Center where you can socialize and exercise
 
  • Adult Day Care centers
Most people prefer to stay in their own home for as long as possible. When planning to receive long-term care in your home there are many things to consider including:
  • The condition of your home

  • Whether it can be modified, if necessary, to accommodate a wheelchair or other devices/equipment

 

  • The availability of long-term care services in your areas, such as adult day care or nearby medical facilities

 

  • How “aging-friendly” your community is—does it offer public transportation, home-delivered meals, and other needed services