Long-Term Care Guide

Caring for a loved one, such as a parent, senior family member, or a disabled child, can be a daunting job for anyone. You are caught between caring for the person and fulfilling your family and personal needs, which can be frustrating and draining.

Up to 29% of middle-aged women pass up on a promotion, while 20% switch from full-time to part-time jobs, and 13% retire entirely to create more time for their loved ones. Working through difficult times without help can cause stress and financial issues.

This long-term care guide examines the benefits of involving professionals to ensure the best care without compromising your job. You'll also learn more about choosing a caregiver plan, the cost of long-term care, insurance, caregiver types, and more.

What is Long-Term Care?

Long-term care refers to various services provided to meet the medical and nonmedical needs of a person with a chronic condition, disability, or inability to achieve self-care. The care covers activities of daily living, such as eating, bathing, and taking medication.

Some families attempt to share the responsibility of caring for their loved ones without a caregiver plan. Unfortunately, providing long-term care is time consuming and stressful without professional help. You'll also spend more, considering regular insurance only covers medical expenses.

Searching for “long-term care near me” online is a good start if you want professional assistance. Many care centers offer caregiver plans and custodial care for nonmedical needs, so your loved one will be safe and well taken care of. However, not all long-term care centers are desirable.

What are the 4 Types of Caregivers?

There are more than a dozen direct care roles, but most fall under four primary types; Home Health Care, Assisted Living Facilities, Nursing Homes, and Adult Daycare Centers. Home health care is the most flexible because it provides care in the comfort of your home.

Assisted living facilities involve moving your loved one to another residence and may provide better services, amenities, and a community setting for living active lifestyles. Social programs and sharing time with other people are the key benefits of assisted living facilities.

Nursing homes may offer short-term rehabilitative care or long-term care for people with chronic conditions, while adult day care centers provide temporary care during the day. Each option has unique pros and cons, so it's crucial to review your choices before deciding.

What Is Long-Term Care Financial Planning?

There are various ways to pay for long-term care, whether you live in a residential care facility or home. Planning your finances today can help safeguard savings and offer financial independence moving forward. So what is long-term care financial planning?

It's all about putting together the funds needed to pay for the caregiver plan and other needs. Popular funding sources include insurance programs and out-of-pocket through saving plan annuities and life insurance policies.

Savings are probably the best option, but round-the-clock support can quickly drain funds. Long-term care insurance can offer coverage benefits when the policyholder can't eat, bathe, or perform specific daily activities.

Each long-term care insurance policy offers unique coverage. For example, Medicare and Medicaid may help but have a weak scope, and high net worth individuals aren't covered. Instead, you can look for hybrid policies that allow you to collect life insurance benefits when you need long-term care.

An asset-based long-term care insurance policy may also cover expenses left out of traditional insurance. You'll need to review the Elder law subset of estate planning to preserve your assets from the expensive cost of long-term care.

This material contains only general descriptions and is not a solicitation to sell any insurance product.

Please keep in mind that insurance companies alone determine insurability and some people may be deemed uninsurable because of health reasons, occupation, and lifestyle choices.

Can I Self-Fund Long-Term Care?

Most people who need long-term care are interested in knowing whether they can pay for everything out of pocket. While it's possible and probably the best choice for some people, you have other options.

The pay gap and financial strength are key factors when considering self-funding a long-term care plan that can cost more than $90,000 every year. You should review the long-term care insurance cost and calculate how much you'll spend annually on caregiver plans.

It's also essential to work with a professional financial advisor with experience in long-term care, estate planning, and health insurance. Covering the cost of long-term care calls for proactive decision making and constantly monitoring your finances.

You should not go through this challenging time alone. Contact Atlas Wealth Strategies to find out more about long-term care, financial planning, and how to work with a professional to make the best choices for your needs.