Home Care Services and Medicare
“The bad news is that our expenses are increasing by the day and the good news is that our life expectancy is increasing,” according to Michael Aun, a state-recognized entrepreneur, author, and motivational speaker. You made sure everything is ins its place, you lived within your means and diligently increased your savings. Through all the ups and downs of the market, your well diversified portfolio was maintained, controlled the cost of investment and utilized lots of techniques to reduce taxes on your income. As a result, he amassed enough eggs to fund his retirement income and provide his children with a decent legacy. Unfortunately, you can lose everything if you do not take the right steps to protect your assets. I am not speaking about the likelihood of continuous volatility of the market or an intense recession that always dominates the news and opinion of all. I’m talking about the three four-letter words that anyone hardly dares comment about. Care in a long-term includes the cost of a nursing home, home care or assisted living.
Why should this be a problem?
According to the US Department of Health and Welfare, 70% of people over 65 need at-home care at certain point in their years. Amidst persons who need Major Medical Insurance 2020 can visit https://www.medicalinsurance2020.org
, more than 75% of them need more than a year. Life expectancy that prevails after age 65 is about 17.9 years, implying that the chances of getting help for chronic diseases are greater than 10 or 20 years ago.The cost of health care can be expensive. Going by the American Association of Long-Term Care, the average cost of insurance is approximately $ 73,000 per year. The cost of nursing home care can be significantly higher or lower, depending on the services needed and the frequency with which the patient needs treatment.
The cost of care increased by an average of 6% a year for some years. At this rate, the average cost of care in 12 years will be twice the current cost, which would be $ 146,000 per year. Assuming health care expenses will continue to rise at the same rate for another 12 years, the cost of treatment in 24 years will be set at $ 292,000 per year. Medicare only covers the account for the first 20 days of qualified care that follows a minimum of 3 days after admission to the hospital. Medicare and its supplement can pay for another 80 days of treatment, but only if a doctor says he needs proper care and again after a three-day hospitalization.
- So, what should you do or could you do now?
- Do you want your child to take care of you? If so, how will this affect their lives?
- What you plan to do depends on what you want to do if you need long-term care.
- What assets will you liquidate?
- If you would rather receive professional assistance, how would you pay for your services?
- How much taxes needs to be paid?