Apr 7

The earlier you plan, the more assets we can protect


Have you filed your 2016 taxes yet? You might be interested to know that long-term care costs – and even long-term care insurance – can be deducted. That includes nursing and assisted living fees, out-of-pocket medical and hospital costs, transportation and doctors’ bills, dentists and other medical expenses.

Our recent blog post outlines the average 2016 long-term health care costs and what Boomers can expect to pay in the next 20 years.

If you’re alarmed by the costs of long-term care, and concerned about your ability to pay them, it’s time to talk.

We work with clients to create individualized estate plans specifically designed to preserve assets and ensure that long-term health-care costs remain manageable.

Because the estate-planning landscape has changed, a careful balance between asset protection during life and protection from taxes or from other creditors is essential.

We work with clients to determine:

  • Spend-down strategies, such as purchasing a car, reversing a mortgage, prepaying a funeral and funding a trust
  • A strategy to afford assisted-living, private-pay requirements
  • The cost of home care or nursing, and forecasting future costs
  • Medicaid qualification and eligibility
  • How to navigate the Medicaid 5-year lookback period
  • Identifying a long-term care facility that fits the person’s lifestyle, and not one based solely on affordability.

Depending on complexity and the wealth of the individual or couple, creating an estate plan that allows long-term health care and allocating funds accordingly can take roughly one to two months. However, you may feel the impact of your plan years after if you need help paying for long term care costs.

Typically, we can save clients between 40 and 60 percent of their overall assets when they come to us in a crisis, such as entering a nursing or assisted living care facility unexpectedly. But without question, the earlier you begin to plan, the greater percentage of assets we can protect.

If you or someone you know is concerned about the ability to afford long-term care, call us to schedule an appointment.