What potential future event terrifies most individuals and couples?
(1) Being diagnosed with Alzheimer’s and how it would affect the healthier spouse and family
(2) What it could cost to pay for it for 10-15 years. (The average length is 8 years)
It is a very difficult situation for all of those involved, especially those designated as care givers.
Our mission at LTC Planning Concepts is to provide financial and concierge support for those who could be in need in the future. This applies to the elderly themselves, as well as to their children. As a child, should you consider how this would be handled in your own family, before a parent needs this type of care?
Here are a few statistics you should consider:
- The cost of Alzheimer’s care today is $70,000-$100,000/yr.
- The NIH estimates global per person spending on dementia is projected to increase by 5.1% annually from 2019 to 2050, although costs increased by 10% in 2024.
- This means in only 15 years the annual cost could double to $140,000-$200,000/yr.
- If someone is age 60, by age 90 the annual cost could grow to $280,000-$400,000/yr.
Should the need ever arise:
- How would that affect you financially?
- How would it affect your spouse?
- How would you pay for it?
- What assets should you use?
The percentage of people with Alzheimer’s increases with age: 5% of people aged 65 to 74, 13% of people aged 75-84, and 33% of people aged 85 and older have Alzheimer’s dementia.
Women are disproportionately affected by Alzheimer’s disease. They comprise approximately two-thirds of all patients and are twice as likely as men to develop Alzheimer’s.
Approximately one-quarter of dementia caregivers are “sandwich generation” caregivers — meaning that they care not only for an aging parent but also for at least one child.
Alzheimer’s takes a devastating toll on caregivers. Compared with caregivers of people without dementia, twice as many caregivers of those with dementia indicate substantial emotional, financial and physical difficulties.
Of the total lifetime cost of caring for someone with dementia, 70% is borne by families — either through out-of-pocket health and long-term care expenses or from the value of unpaid care.
Is this what you want for your family?
Since Medicare does not pay for memory care facilities, it’s important to research, consider, and plan for other ways to cover it. These include personal savings and other financial assets, long-term care insurance, and options for military veterans.
As memory problems progress, however, it often becomes too physically and emotionally difficult to care for someone with dementia or Alzheimer’s disease at home. That’s when it is time to consider memory care or a nursing home.
When a dementia patient runs out of money, they may face eviction from their care facility or be unable to access the care they need. Options include applying for Medicaid (requiring you to spend down your assets), exploring other government assistance programs, or seeking support from family, charitable organizations, or the Area Agency on Aging.
You pay to obtain catastrophic coverage to cover your home, your car, or an illness such as cancer. Since the potential financial loss in the future due to an Alzheimer’s diagnosis is even greater than any of these items, why not consider obtaining lifetime catastrophic coverage for Alzheimer’s care as well?
LTC Planning Concepts can introduce you to some solutions that would help you pay these expenses in the most financially attractive manner possible, by putting a lifetime shield around your other assets. This is accomplished without purchasing traditional long-term care insurance that will normally run out in 3-6 years,
The most attractive part of our solutions is all you would need to do is reposition some of your current assets (from an IRA, annuity, or rainy-day fund) into a guaranteed and secure asset that will provide lifetime benefits for both spouses, should you ever need this benefit for LTC. If not, these assets can be used by you or passed on to your heirs tax-free.
In a sense, you are still self-funding your care with what could appear to be a high-deductible catastrophic plan where you are off-loading the risk. We’re just making sure you never run out of money.
Long-Term Care Plans deliver these guarantees:
- Your spouse won’t face the prospect of a shorter life and health span due to the stress of handling the incident.
- Your children will still be talking to one another after you die.
- You live the life you envisioned for yourself and your family should you ever need extended care.
Make sure you and your family have a plan.
We enable you or a loved-one to obtain the type of care you desire, in the type of facility you would want. Shouldn’t you learn about these solutions yourself?
Schedule some time to discuss it. Click the link below!
Schedule Your Onlline Discussion Appointment NOW!
- Nick Chambers
- nick@ltcplanningconcepts.com
- 931-291-6934